Cabinet Office supremo Pat McFadden declined to comment on whether Sue Gray would keep her £170,000 salary after she was sidelined as Keir Starmer’s chief-of-staff

A top Labour minister has said Keir Starmer’s former chief-of-staff Sue Gray has taken a “short break” as she has been “through a lot”.

Cabinet Office supremo Pat McFadden made the comment as Ms Gray misses the first summit of the new government’s council of the nation and regions in Scotland today – despite being handed a new role as PM’s envoy for nations and regions.

Former Partygate investigator Ms Gray was forced out as the No10 chief-of-staff at the weekend after weeks of hostile briefings against her. In a statement, she said it had “become clear to me that intense commentary around my position risked becoming a distraction to the government’s vital work of change”.

Senior No10 aide Morgan McSweeney, credited for overseeing Labour’s election campaign victory, replaced her as chief-of-staff on Sunday. Instead, Ms Gray, who it emerged last month was being paid £170,000, will take on a new role as the Prime Minister’s envoy for the nations and regions.

But asked why she would not be attending a summit of UK regional and national leaders today, Mr McFadden said: “Look, Sue’s been through quite a lot over the last few weeks. I worked with her, she’s a great colleague, she’s taken a short break now and I think we should allow her the time and privacy to do that,” he told Sky News.

He also told LBC Ms Gray had “not enjoyed” being in the public eye, “unlike me, who can come on your programme and speak for myself and answer any of your questions”.

Mr McFadden, who would not disclose Ms Gray’s new salary, added: “As an official, she can’t do that. Given what she has been through in the last few weeks, she has decided to take a bit of downtime, take a bit of a break, and I quite understand why.”

Asked how long her break would be, he replied: “I don’t think it will be long, but let’s give her a bit of space and privacy after somebody who, as I said, can’t speak up for themselves, finding themselves on the front pages of the newspapers in a way that she has not wanted to be.”

At the weekend Ms Gray had said: “It has been an honour to take on the role of chief of staff, and to play my part in the delivery of a Labour government. Throughout my career my first interest has always been public service. However, in recent weeks it has become clear to me that intense commentary around my position risked becoming a distraction to the government’s vital work of change. It is for that reason I have chosen to stand aside, and I look forward to continuing to support the prime minister in my new role.”

Mr McFadden also declined to comment on “speculation” ahead of the Budget amid reports Rachel Reeves is considering hiking capital gains tax.

The duty on the sale of shares and second homes is currently levied between 20-24% – well below income tax. According to the Guardian, the Chancellor is considering raising the level to as high as 39% to raise billions for crumbling public services.

But Mr McFadden said: “The Chancellor will make her announcement when she stands up to give the Budget”.

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