An estate agent’s failure to secure a rental licence for Rachel Reeves, the Chancellor of the Exchequer, has sparked a political controversy, but his former employer insists that the agent is not to blame for the oversight. Gareth Martin, owner of the estate agency Harvey & Wheeler, addressed the situation on November 3, 2025, clarifying that the property manager had left the company for a new position prior to the licensing issue coming to light.
Martin stated that his firm had taken on Reeves’ case due to her high-profile status and expressed regret over the timing of the agent’s departure. He emphasized that he takes full responsibility for the licensing oversight, which he described as an “innocent mistake.”
The situation escalated when it was revealed that Reeves had been warned by a second estate agency, Knight Frank, about the necessity of a rental licence for her family home in Dulwich, southeast London. This revelation came as questions mounted regarding her claim that she was unaware of the licensing requirements before letting the four-bedroom property for £3,200 a month.
Local regulations in Southwark mandate that landlords obtain a selective licence, which carries a potential penalty of up to £30,000 for non-compliance. Despite this breach, the council announced that it would not impose fines on Reeves. However, her tenants could still demand a refund for a year’s rent, amounting to £38,000.
As the scrutiny intensified, Reeves published email correspondence showing that Harvey & Wheeler had volunteered to handle the licence application. Despite this, the agency ultimately failed to do so. Martin defended his staff, stating, “There is absolutely no criticism of any member of staff. The previous property manager was very good. It was just unfortunate timing.”
The ongoing controversy has led to renewed calls from Conservative politicians for an investigation into Reeves’ actions. Tory Treasury Minister Gareth Davies highlighted the inconsistencies in her account, saying, “Each day brings fresh questions about Rachel Reeves’ account. This latest revelation casts serious doubt on her claim not to have known about the need for a licence.”
In light of the growing pressure, Reeves eventually applied for the necessary licence after an exchange with Labour leader Keir Starmer, who initially admonished her for not thoroughly reviewing her emails before addressing the issue. Starmer later expressed that he believed Reeves had acted in “good faith.” Additionally, the independent adviser on ministerial standards, Sir Laurie Magnus, determined that Reeves had made an “inadvertent error,” thereby mitigating potential consequences for her position.
As the Chancellor approaches the delivery of the Autumn Budget, the unfolding events serve as a reminder of the importance of compliance with housing regulations and the scrutiny faced by public figures in matters of transparency and accountability.
