Why Rushanara Ali Lost Her Ministerial Post

Published : 20:03, 9 August 2025
Bangladeshi-origin British MP Rushanara Ali came under heavy criticism after evicting tenants from her privately owned townhouse and then hiking the rent by £700 at once. Because of her behaviour towards the tenants, she was forced to resign. She was accused of violating “gated community” rules.
Last year, after the Labour Party formed the government, Rushanara Ali was appointed Parliamentary Under Secretary at the Ministry of Housing, Communities and Local Government. This post in the UK government is known as the “Homelessness Minister.” It was the first time she had ever held a position in the UK government.
The house in question, located in the Bow area of East London, had four tenants paying £3,300 per month. After their fixed-term tenancy ended, they were given four months’ notice last November to vacate the property. The house was later re-listed for rent at £4,000 per month. This caused major controversy for Rushanara Ali, who had responsibility for looking after the homeless.
The Labour government wants to ban such rent-hike practices. Neighbours of Ali expressed concerns in emails to the government. The Times has seen one such email regarding Ali’s property and the neighbours’ concerns, showing that complaints had been made in advance — but to no effect. Documents show that residents of Bow Quarter had pushed for legal action against several landlords.
If three tenants live together as one household and share toilet, bathroom, or kitchen facilities, the property is considered a “House in Multiple Occupation” (HMO). Ali’s recent tenants were four young professionals aged between 20 and 30.
Emails obtained by The Times show that Bow Quarter’s estate manager told residents that anyone operating an HMO property must inform the court. Close associates of Ali insisted that the house should not be considered an HMO because it was a single dwelling with tenants under one joint tenancy agreement. However, according to the UK government’s website, none of these factors exclude the property from being classified as an HMO.
Property documents also state that only one family or tenant may live there. Ali had registered the property as an HMO with Tower Hamlets Council since 2016. Her associates said this was done to meet council requirements, even if the property did not meet the HMO criteria. It is understood that the managing agents advised the landlord that letting tenants in this way would not be considered a breach of her lease terms.
A spokesperson for Ali said the allegations were untrue: “Rushanara’s agreement with her tenants is consistent with the lease.” Managing agents Rendall & Rittner stated that Blondin Street’s leasehold townhouses contribute to estate maintenance and comply with lease conditions, which include prohibiting subletting as an HMO. “We are aware of claims that one or more properties are being sublet as HMOs. We are actively monitoring this situation and always encourage relevant residents to share any evidence with us so that we can investigate further and act according to our client’s instructions.”
In an initial reaction, Ali’s spokesperson said, “Rushanara is aware of her responsibilities and will act in accordance with all relevant legal requirements.” The i newspaper, which first broke the story, reported that Ali’s former tenants have now found new accommodation. One of them told the paper: “I don’t think Rushanara Ali cares about us at all… I think she only cares about the money and sees it as a business.”