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The Housing Secretary is battling a double-pronged crisis as a Cabinet Office probe into "dark arts" allegations joins the fallout from his "illegal" election delay.
The Croydon MP and the "Labour Together" Probe
Steve Reed, the MP for Streatham and Croydon North, is now the central figure in a sprawling Cabinet Office investigation into "Labour Together," the influential faction he helped establish. Prime Minister Keir Starmer reportedly ordered the probe this morning to "look at the facts" following explosive allegations of private investigators being used to follow journalists and political rivals. This "dark arts" scandal strikes at the heart of Reed's reputation as a local government "fixer." For his Croydon constituents, the investigation adds a layer of controversy to an MP already accused of being more focused on Westminster power-broking than local issues. The departure of his long-term ally Morgan McSweeney from No10 last week has left Reed increasingly exposed, with internal Labour sources questioning whether the "Croydon project" has finally overreached.
Democratic Defeat and High Court Humiliation
Simultaneously, Reed is facing a total collapse of his policy to postpone local elections for 4.6 million people. In a move branded "illegal" by legal experts and "cowardly" by Nigel Farage, Reed attempted to delay votes in 30 councils until 2027. Following a High Court challenge by Reform UK, Reed was forced into a total retreat, with the Government now forced to pay £150,000 in legal costs. Critics argue that Reed, an expert in local government law, must have known the move was legally tenuous but pursued it to protect Labour from an electoral wipeout by Reform on May 7. The U-turn has not only damaged his standing in the Cabinet but has also left local authorities in a "race against time" to organize reinstated polls.
Resignation Watch: A Minister on the Brink
The pressure for Reed to quit has now shifted from external opposition to internal unrest. While Health Minister Stephen Kinnock spent Tuesday morning on the airwaves defending Reed as "excellent," backbenchers are whispering about a "terminal error of judgment." The Conservative Party has officially written to Reed demanding transparency over his "conduct as a minister," questioning if political gain was prioritized over constitutional law. With the Cabinet Office now scrutinizing his past links to "Labour Together" and the High Court exposing his recent ministerial failures, Reed’s position has never been more precarious. Analysts suggest that if the Cabinet Office finds any breach of the ministerial code regarding his data-handling or private investigations, a resignation will be unavoidable before the week is out.
The Financial Fallout for Taxpayers
Beyond the political drama, Reed’s decisions have landed a significant bill on the public. The Treasury is now liable for Reform UK’s legal expenses, and councils are demanding an urgent slice of a £63 million emergency fund to fix the administrative chaos caused by the "illegal" delay. For a minister who built his career on "co-operative" and efficient local government, the irony of a costly, legally flawed intervention is not lost on his critics.
