‘Everyday people cannot pay any more’
Unite’s General Secretary Sharon Graham has called for the government to implement a wealth tax ahead of the budget this week.
Chancellor Rachel Reeves will deliver the government’s budget on Wednesday, which will prioritise cutting the cost of living, cutting NHS waiting lists, protecting public services while also reducing national debt and plugging a fiscal black hole worth about £20bn.
Graham is among others who have renewed calls for the government to implement a wealth tax, in order to protect working people.
Asked by the BBC’s Laura Kuenssberg on Sunday what would be top of her wish list on the budget, Graham said: “They need to do a wealth tax because everyday people cannot pay any more, they need to go to the wealthiest in our society and they also need to change the fiscal rules so that we can borrow to invest.”
The government is reportedly considering imposing a property levy on homes worth more than £2m, hitting 100,000 properties with a new wealth tax that is expected to raise just £450m.
However, Reeves and other cabinet ministers have rejected calls for a standalone wealth tax. Some have highlighted how a wealth tax could lead to ‘capital flight’-whereby wealthy individuals simply leave the UK. Wealth can also be held in a diverse range of assets, anything from cars to art, meaning it may be hard for tax authorities to know exactly how to enforce the levy.
Basit Mahmood is editor of Left Foot Forward
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