A furious row erupted on Good Morning Britain as Kate Garraway and ex-Labour MP Ed Balls clashed with the Conservative Party Chairman over Angela Rayner.
Kevin Hollinrake appeared on the ITV morning show to demand that the Deputy Prime Minister steps down for not paying enough tax on the purchase of her new home in Hove.
This week, the Housing Secretary admitted she was not eligible for a £40,000 stamp duty discount she received when she bought the £800,000 flat this summer.
Mr Hollinrake argued that Ms Rayner's position had become untenable given her responsibility for housing and how vocal she has been about tax avoidance by others.
He said: 'This goes beyond tax avoidance. Tax avoidance is the lawful mechanism to reduce tax, but this is not lawful.'
However, the two ITV presenters leapt to Ms Rayner's defence, with Mr Balls who is married to Home Secretary Yvette Cooper, branding the argument Mr Hollinrake was trying to make as 'rather unusual'.
Ms Garraway also interrupted to say former Tory MP Zadhim Zahawi had underpaid tax by £5million while he was Chancellor.
She said: 'You have made a lot of accusations there and we are waiting for the outcome of that independent inquiry into Nadhim Zahawi, aren't we.
Kevin Hollinrake appeared on the ITV show to demand that the Deputy Prime Minster steps down for not paying enough tax on the purchase of her new home in Hove
Pictured: Ms Rayner recently purchased a £800,000 seaside flat in Hove
Mr Hollinrake argued that Ms Rayner's position had become untenable given her responsibility for housing and taxation policy
'He eventually resigned but was found to have underpaid his tax by £5million and your party at the time said we must wait to find out the facts.
'Why are you holding Angela Rayner to a different standard.'
The Tory Party Chairman then replied that this was because Ms Rayner 'had held herself to a different standard'.
Former shadow Chancellor Mr Balls went on to question in the interview the moral position that Ms Rayner had taken.
He said: 'Your criticism of her is that she has taken a moral position and therefore she should be judged morally.
'In the case of Priti Patel, there were allegations of bullying. This was referred to the independent advisor, Sir Alex Allen.
'He published a report which said her approach can be described as bullying in terms of the impact felt by individuals.'
Mr Balls went on to argue that Priti Patel kept her job as Boris Johnson had 'ignored Alex Allen's findings.
Angela Rayner was tearful as she gave a TV interview about receiving NHS compensation
'You're saying Angela Rayner has to resign because she demanded people acted morally,' he said.
'Did Priti Patel stay in her job because she didn't act morally and that didn't matter?'
Ms Rayner purchased the £800,000 seaside property in Hove this summer with a £40,000 stamp duty discount.
However, after weeks of stonewalling from Labour that she had paid enough tax, she finally admitted this week she was not eligible for the discount.
She now faces an anxious wait for the results of a probe by ethics watchdog Sir Laurie Magnus, while HMRC is also investigating.
But Sir Keir is said to be determined to save her, and ministers have claimed the grandmother and former single mum is being targeted because of her working class background.
The investigation continued as new details emerged about the financial arrangements behind her new home purchase.
The Deputy Prime Minister received £162,500 from a trust fund set up to care for 17-year-old Charlie, who was born prematurely.
The money, which she put towards the deposit on the flat, was paid to her when she sold a 25 per cent share of her house 260 miles away in Ashton-under-Lyne into trust.
Ms Rayner said on Wednesday that the Greater Manchester property had been adapted for her son's special needs, and she had transferred her share of the house to the trust to ensure he had 'stability in the family home'.
The Deputy PM received £162,500 from a trust fund set up to care for 17-year-old Charlie, who was born prematurely
This morning senior Cabinet minister Bridget Phillipson revealed the DPM received new legal advice on Monday suggesting she had underpaid the housing tax. But No10 continued to defend her into Tuesday.
Ms Rayner said her son had received an award in 2020. The Telegraph said it followed an 11-year legal battle waged between the Rayners and the hospital where her son was born in 2008, weighing less than 1lb, that resulted in the NHS paying compensation.
The Labour MP has previously suggested a locum doctor made an error that contributed to his lifelong disabilities.
It is unclear how much money was paid out as part of the NHS damages claim. The Rayners set up the trust in 2020. In 2023, they transferred half the ownership of the house into it.
Stockport NHS Foundation Trust declined to reveal details of any settlement reached, saying 'these are confidential patient matters'. Ms Rayner's office was approached for comment.
The BBC reported today that Ms Rayner sought advice from three lawyers - a conveyancer and two trust experts - regarding her flat purchase this summer.
Shoosmiths, which acts as a trustee of the Greater Manchester property, says it did not act for her in the Hove purchase.
