RACHEL REEVES will face no further action over her failure to obtain a rental licence for her family home, PM Sir Keir Starmer has said.

The Chancellor previously admitted to mistakenly breaching local council housing rules by failing to secure a “selective” licence for the south London property when it was rented out following her move into No 11 Downing Street.

She initially said she was unaware of the requirement, but emails between her husband and the letting agency published on Thursday showed he had been informed about the need for a licence.

Estate agents Harvey & Wheeler however took the blame for the “oversight” in not applying for a licence on her behalf, despite having agreed to do so.

In a letter to Ms Reeves, the Prime Minister said that, after reviewing the correspondence, “I still regard this as a case of an inadvertent failure to secure the appropriate licence, which you have apologised for and are now rectifying.

“Having consulted the Independent Adviser on Ministerial Standards and received his clear and swift advice, with which I concur, I see no need for any further action.”

He added that it was “regrettable” that she had not shared the information in her first letter to him about the matter on Wednesday, but said he accepted she was “acting in good faith.”

The Prime Minister’s independent standards adviser, Sir Laurie Magnus, said that after seeing the emails, he still believed Ms Reeves made an “unfortunate but inadvertent error,” having found “no evidence of bad faith” in Ms Reeves’s contradicting statements about her awareness of the need for the licence.