Since 2010, the Tories have raised taxes 24 times – including hiking up VAT. Millions of hard-working people have seen their taxes go up, while millionaires have been given a tax cut.
It’s the same old Tory con – giving with one hand but taking away much more with the other. The VAT rise alone has cost families with children an average of £1,350 over the last three years.
And the 24 Tory tax rises don’t include the cuts to tax credits which have hit millions of working families. Labour analysis of figures from the independent Institute for Fiscal Studies has found that households will be £974 a year worse off by the time of the next General Election because of tax and benefit changes since 2010.
The reality is that the Tories’ economic plan is to cut taxes at the very top and hope that wealth trickles down. Their decision to cut the 50p rate of tax for people earning over £150,000 handed a £3 billion tax cut to the richest one per cent in the country. It means that someone earning £1 million has received a tax cut of over £42,000 a year. That’s not fair at a time when everyone else is paying more.
Labour will take a fairer approach to taxation:
- We will cut taxes for 24 million people on middle and lower incomes by introducing a lower 10p starting rate of tax.
- We will restore the 50p rate of tax for those earning over £150,000, for the next Parliament, to help get the deficit down in a fairer way.
- We will introduce a Mansion Tax on high-value properties over £2 million, to help to pay for an NHS Time to Care Fund as part of our plan to save and transform the NHS, with an additional 20,000 nurses and 8,000 GPs by 2020, and a one-week cancer test guarantee.