British Minister in Charge of Homelessness Resigns Over High Rent Accusations
In a surprising turn of events, Rushanara Ali, the Under-Secretary of State for Homelessness in the Labour government, has resigned from her position. The resignation letter, released by the Prime Minister's office, does not provide any new information about the increased rent at a property she owns, but the context suggests that it has contributed to the distraction mentioned.
Ali, a key figure in advancing the Renters’ Rights Bill, has been at the forefront of reforms aimed at improving tenancy protections. The Bill, which passed its third reading in the House of Lords in July 2025 and is expected to become law by autumn, introduces major reforms including the abolition of no-fault evictions and the replacement of fixed-term assured shorthold tenancies with rolling periodic tenancies [1][2]. These changes will grant tenants greater security and flexibility while imposing stricter obligations on landlords and reducing their control over tenancy ends.
However, recent reports have emerged that Ali significantly increased the rent at a property she owns in London. Four tenants were given four months to leave the property, after which it was leased again with a rent more than 700 pounds ($940) higher [3]. These developments have led to calls for Ali to resign from associations campaigning against homelessness and opposition lawmakers.
Despite the controversy, Ali maintains that she has followed all relevant legal requirements in her actions. In her resignation letter, she stated that continuing in her role would be a distraction from the government's work.
Prime Minister Keir Starmer thanked Ali for her diligent work at the housing ministry and acknowledged her efforts to put in measures to repeal the Vagrancy Act, which, if successful, will have a significant impact.
The rental market in 2025 has been significantly influenced by these legislative changes and ongoing rent increases amid supply constraints. Rents in the UK continue to rise but at a slower pace, with average rents climbing about 7% in the year to May 2025, down from 9% in late 2024; the average rent is approximately £1,287 a month [4]. The rental market is large and evolving, with over a third of UK households renting, and tenant satisfaction varies regionally [5].
Sources:
[1] House of Commons Library (2025). Renters’ Rights Bill 2024-25. [Online] Available at: https://commonslibrary.parliament.uk/research-briefings/cbp-9071/
[2] The Guardian (2025). Renters’ Rights Bill: What does it mean for landlords and tenants? [Online] Available at: https://www.theguardian.com/money/2025/jul/30/renters-rights-bill-what-does-it-mean-for-landlords-and-tenants
[3] The I-Paper (2025). Rushanara Ali resigns as minister for dealing with homelessness after increasing rent at London property. [Online] Available at: https://inews.co.uk/news/politics/rushanara-ali-resigns-minister-homelessness-rent-increase-london-property-940-keir-starmer-966313
[4] The Telegraph (2025). UK rents rise at slower pace amid cost pressures. [Online] Available at: https://www.telegraph.co.uk/money/property/buy-to-let/uk-rents-rise-at-slower-pace-amid-cost-pressures/
[5] Shelter (2025). The State of the Nation: Homelessness in Britain 2025. [Online] Available at: https://www.shelter.org.uk/__data/assets/pdf_file/0017/263677/SOTN_2025.pdf
- The sudden resignation of Rushanara Ali, a prominent advocate for the Renters’ Rights Bill, has become a point of interest in the realm of politics and policy-and-legislation, as allegations of rent increases at her property have led to calls for her resignation.
- As the debate around crime-and-justice persists in the general-news, the unexpected departure of Ali from her role in the housing ministry has introduced a new layer to the discussion, with questions being raised about the potential impact of politicians' personal actions on their public responsibilities.
