Tulip Siddiq, Labour MP and Treasury minister, has stepped down following allegations concerning her ties to her aunt Sheikh Hasina’s political movement in Bangladesh.
The resignation comes despite no breach of the ministerial code being found.
In her letter to Prime Minister Sir Keir Starmer, Siddiq stated that remaining in her position would cause unnecessary distractions to the government’s work.
“Although I have not breached the ministerial code”, it is clear that continuing in her post would be “a distraction from the work of the government,” she wrote.
The controversy surrounds Siddiq’s alleged connections to properties linked to her aunt Sheikh Hasina, the former Bangladeshi Prime Minister, who was deposed in August 2024 after 20 years in office. Sheikh Hasina’s leadership ended following a political uprising, and she fled to India.
Siddiq has denied any wrongdoing and previously referred herself to the Prime Minister’s ethics adviser, Sir Laurie Magnus.
Magnus found no evidence of financial impropriety or breaches of the ministerial code but described Siddiq’s lack of awareness of potential reputational risks as “regrettable.”
In response, Sir Keir Starmer accepted her resignation “with sadness” and praised her for making the difficult decision.
“Sir Laurie Magnus as Independent Adviser has assured me he found no breach of the ministerial code and no evidence of financial improprieties on your part,” he wrote.
Following Siddiq’s resignation, Downing Street announced the appointment of Emma Reynolds, MP for Wycombe, as her replacement in the Treasury. Torsten Bell will take over Siddiq’s previous role in the Department for Work and Pensions.
The allegations against Siddiq include living in properties connected to allies of her aunt and being named in Bangladeshi court documents concerning meetings with Russian officials.
Conservative Party leader Kemi Badenoch had called on Starmer to sack Siddiq over the weekend, further intensifying the political pressure.
While Siddiq stayed in the UK last week to address the allegations, she was initially scheduled to join a delegation visiting China.