Europe bulletin: UK's Rayner quits, Google hit with $3.5B fine, Norway braces for elections

Europe’s political and economic landscape shifted sharply on Friday, with the shock resignation of Angela Rayner from the UK government, a record EU fine against Google, Nigel Farage plotting a return to mainstream politics, and Norway bracing for one of its tightest elections in years.

Angela Rayner resigns after ministerial code breach

Angela Rayner stood down from her roles as deputy prime minister, housing secretary, and deputy Labour leader after the government’s ethics adviser ruled she had breached the ministerial code.

Sir Laurie Magnus found that Rayner, who admitted underpaying stamp duty on her £800,000 seaside flat, had “acted with integrity” but nonetheless failed to meet the standards required of ministers.

Her resignation represents the most serious blow yet to Prime Minister Keir Starmer’s authority.

He had until now strongly defended Rayner, standing by her through months of mounting criticism.

Rayner’s departure leaves Starmer weakened, his leadership under sharper scrutiny, and his party facing turbulence just as Labour was beginning to steady after a difficult summer.

The scandal comes as the government prepares its November budget, which is expected to include painful tax changes.

EU fines Google $3.5 billion in landmark antitrust case

Brussels turned its firepower on Alphabet’s Google, fining the company nearly $3.5 billion and ordering it to overhaul its advertising technology practices.

The European Commission concluded that Google abused its market dominance by giving its own ad exchanges preferential treatment, stifling competition and harming consumers.

It is the second-largest antitrust penalty ever imposed by the EU, following another Google fine in 2018.

“True freedom means a level playing field,” said EU competition commissioner Teresa Ribera. “When markets fail, public institutions must act.”

Google said it would appeal the ruling, which follows a four-year probe into its advertising ecosystem.

Despite the scale of the penalty, Alphabet’s stock barely budged, up 0.5% in New York afternoon trading.

Farage claims Reform UK is preparing for power

Nigel Farage used Reform UK’s annual conference in Birmingham to set out his most ambitious pitch yet: preparing his party for government.

With Labour engulfed in crisis following Rayner’s resignation, Farage said Reform must be ready to capitalise, predicting a general election as early as 2027.

Joined by Nadine Dorries, the former Conservative cabinet minister who defected to Reform this week, Farage announced the creation of a new policy department to professionalise the party.

Dorries will help shape strategy, alongside former chairman Zia Yusuf, who has been tasked with building a programme for government.

Norway heads for knife-edge election

Norwegians will head to the polls on Sunday and Monday in a parliamentary contest that is too close to call.

The left-wing bloc led by Prime Minister Jonas Gahr Stoere’s Labour Party is narrowly ahead, projected to win 87 seats — just two above the threshold needed for a majority.

The rival right-wing bloc, dominated by the anti-immigration Progress Party and the Conservatives, remains within striking distance.

Cost-of-living pressures, taxation and public services have dominated the campaign, but geopolitics has also loomed unusually large, with Norway’s role as a key energy supplier to Europe under scrutiny.

Control of Norway’s $2 trillion sovereign wealth fund, the world’s largest, is also at stake.