Greater Manchester Police has said no further action will be taken against Angela Rayner following a "thorough, carefully considered and proportionate investigation".
Rayner, who denied any wrongdoing, was being formally investigated over the sale of her council house after being reported to the police by Tory MP James Daly.
The MP for Asthon-under-Lyne was facing allegations she may have given false information about where she was living
PA
The MP for Asthon-under-Lyne was facing allegations she may have given false information about where she was living.
A Greater Manchester Police spokesperson said: “Following allegations about Angela Rayner MP, Greater Manchester Police has completed a thorough, carefully considered and proportionate investigation. We have concluded that no further police action will be taken.
“The investigation originated from complaints made by Mr James Daly MP directly to GMP.
"Subsequent further contact with GMP by members of the public, and claims made by individuals featured in media reporting, indicated a strong public interest in the need for allegations to be investigated.
“Matters involving council tax and personal tax do not fall into the jurisdiction of policing.
"GMP has liaised with Stockport Council and information about our investigation has been shared with them.
"Details of our investigation have also been shared with His Majesty’s Revenue and Customs (HMRC).”
Rayner registered the former council house in Stockport as her main address on the electoral register, meaning she was not liable to pay capital gains tax on the £48,000 profit.
The police had initially said that the Labour MP would not face an investigation over claims she gave false information about her primary address on the electoral roll in a statement earlier this month.
But Daly wrote to the police and argued that officers appeared not to have contacted witnesses or looked at the electoral roll or other relevant documents.
A spokesperson for Stockport Council said: "Stockport Council has reviewed and responded to all correspondence relating to this matter, including information received from Greater Manchester Police (GMP) who have concluded that no further police action will be taken.
"We have also concluded that no further action will be taken on behalf of the council."
In a statement following Greater Manchester Police concluding its investigation, Angela Rayner said: "I welcome the conclusion of the police investigation, and confirmation that no further action will be taken.
"We have seen the Conservative Party use this playbook before - reporting political opponents to the police during election campaigns to distract from their dire record.
"The public have had enough of these desperate tactics from a Tory Government with nothing else to say after 14 years of failure.
"I am grateful to all those who have stood by and supported me and my family.
"My focus now is squarely on securing the change Britain needs, with the election of a Labour Government."
