Angela Rayner denies leaking memo that ripped into Chancellor Rachel Reeves’ controversial budget cuts

Angela Rayner has ruled out ever running for Prime Minister as she denied allegations she leaked a secret memo to boost her leadership chances.

The Deputy Prime Minister vowed she would ‘never’ go for Sir Keir Starmer’s job, insisting that she had ‘no desire’ to be Labour leader.

It emerged last week that Ms Rayner sent a secret memo to Rachel Reeves proposing eight tax hikes on savers and higher earners. It was seen as a direct challenge to the Chancellor’s preference for spending cuts over tax rises and a sign that Ms Rayner was ‘on manoeuvres’ to position herself as the centre-Left candidate in any future leadership contest.

It also sparked speculation that the leak was an attempt to hit back at Ms Reeves and Sir Keir amid a furious row over proposed deep budget cuts to her housing department in next month’s spending review.

Ms Rayner, who is also the housing and local government secretary, is at war with the pair because she is set to be one of the biggest losers from the review.

The Mail revealed over the weekend how she complained ‘forcibly’ about proposals to squeeze spending on housing in a series of recent Downing Street meetings.

Asked whether she was behind the memo appearing in the press, she told Sky News: ‘Absolutely not. And I don’t want to be leader of the Labour Party. I’m very happy and honoured to be Deputy Prime Minister of this country, and I’ve got a lot in my in-tray to prove that I can do the job that I’m doing.’

Angela Rayner has denied allegations she leaked a secret memo to boost her leadership chances after it emerged last week that Ms Rayner sent a secret memo to Rachel Reeves proposing eight tax hikes on savers and higher earners

Asked whether she was behind the memo appearing in the press, she told Sky News (pictured): ‘Absolutely not. And I don’t want to be leader of the Labour Party. I’m very happy and honoured to be Deputy Prime Minister of this country’

The leaked memo was seen as a direct challenge to the Chancellor’s (pictured) preference for spending cuts over tax rises and a sign that Ms Rayner was ‘on manoeuvres’ to position herself as the centre-Left candidate in any future leadership contest

After being told the interview would be played back to her should she ever make a leadership bid, she replied: ‘Absolutely, I’ll be happy for you to play it back to me.

‘I have no desire to go for the leadership of the Labour Party. My desire is to deliver for the people of this country who have given me opportunities beyond what I could have dreamed of.’

When asked to confirm she would ‘never’ run for Labour leader, she repeated the word to the Sunday Morning With Trevor Phillips Show and said she would ‘never’ make a bid for the leadership.

It comes amid a growing backbench rebellion of as many as 170 MPs who are angry about proposed benefits cuts which the Government’s own figures suggest could push 250,000 more people into poverty – including 50,000 children.

Meanwhile, around 150,000 carers are set to lose support payments to help them look after loved ones under the reforms.

A vote in Parliament is scheduled next month and the size of the rebellion threatens to defeat the Government. Backbench MPs have also been angered by the move to strip 10million pensioners of winter fuel payments.

Ms Rayner confirmed that a U-turn which would either partially or fully restore the payments could be announced at the review.

Breaking her silence on the memo and splits between her and her Cabinet colleagues, she added: ‘It’s not rocket science that the Deputy Prime Minister speaks to the Chancellor and talks about fiscal events in the round, or that I will pitch for my department’

Asked if she felt she could do a better job at running the country than Sir Keir, Ms Rayner said: ‘No. I think we’re working really hard for the people of this country’

Breaking her silence on the memo and splits between her and her Cabinet colleagues, she added: ‘It’s not rocket science that the Deputy Prime Minister speaks to the Chancellor and talks about fiscal events in the round, or that I will pitch for my department.

‘It is not okay for leaks to happen, because I think that undermines all of us as a team.’

Asked if she felt she could do a better job at running the country than Sir Keir, Ms Rayner said: ‘No. I think we’re working really hard for the people of this country.’

The Deputy PM also said it was ‘not true’ that she repeatedly threatened to resign from the Cabinet over the ‘impossible’ target of building 1.5million homes within five years – a claim made in Lord Ashcroft’s book Red Flag.