UK Prime Minister Keir Starmer has reiterated his commitment to Labour's manifesto pledge not to increase income tax, National Insurance contributions (NICs), or value-added tax (VAT). During Prime Minister's Questions, Starmer confirmed that the government will adhere to these promises. However, he declined to rule out extending the current freeze on income tax and National Insurance thresholds, a policy originally introduced by the Conservative government that results in fiscal drag by pushing millions into higher tax brackets. This freeze is currently set to expire in April. Additionally, Starmer did not rule out the possibility of introducing a wealth tax when questioned by Conservative MP Kemi Badenoch, although he did not provide further details or commitments on this issue. The Prime Minister's responses indicate a cautious approach to tax policy amid pressures to increase tax revenues.
“It’s a simple question, Transport Secretary.” “It’s up to their members to decide.” “It’s your biggest financial backer.” @lewis_goodall asks Heidi Alexander if she'd urge Unite to stay affiliated to the Labour Party. She refuses to say. https://t.co/UcoO9WgjjO
Transport Secretary says 'fairness' is the 'guiding principle' of the autumn Budget. Sky's Trevor Phillips presses Heidi Alexander MP on expected tax rises in October's Budget. https://t.co/ZjlM447djM https://t.co/3aaBwQMvyx
The Government will be guided by “fairness” on tax, a senior Cabinet minister said when asked if tax rises are coming in the autumn budget. ➡️https://t.co/Djdt2L8IJE https://t.co/Djdt2L8IJE