Updated

Greece's economy and development minister has resigned, shortly after his wife, a junior cabinet minister, also stepped down over a rent allowance scandal.

Prime Minister Alexis Tsipras accepted the resignation of Dimitri Papadimitriou, the prime minister's office said Tuesday.

On Monday, Papadimitriou's wife, deputy labor minister Rania Antonopoulou, quit after she applied for and received rent allowance for her Athens home, despite declaring an annual household income of more than half a million dollars.

This followed weekend reports revealing that that she received aid worth 23,000 euros ($28,300) over two years, even though she had an extensive property portfolio.

The government says it plans to abolish the housing subsidy for Cabinet members who are not members of parliament.