Deputy U.K. Prime Minister Angela Rayner is set to leave government following an inquiry into her tax affairs by Sir Laurie Magnus, the prime minister's adviser on ministerial standards.

The investigation found Rayner failed to pay a £40,000 Stamp Duty surcharge on a second home in Hove, despite her claims that she had acted on legal advice, The Times reported Friday.

Her lawyers said this week that they had never provided her with tax guidance, contradicting her earlier defense.

Two senior government sources confirmed Prime Minister Keir Starmer considered Rayner's position "untenable" after receiving Magnus' report on Friday. An official announcement of her departure is expected shortly, triggering a cabinet reshuffle and a contest for Labour's deputy leadership.

Rayner had previously insisted she paid the correct rate of Stamp Duty, but referred herself for investigation after a barrister's review suggested otherwise.