Employment refuses to exclude wealth tax

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Downing Street refused to exclude the imposition of a “wealth tax” on the richest people in Britain after the former Labor Party leader, Lord Neil Kenoc, said this tax was a good way to fill a growing hole in public financial affairs.

advisor Rachel Reeves He is exposed to increasing pressure to raise taxes after a decline last week at a value of 5 billion pounds on social welfare savings despite the exclusion of wealth tax on several occasions, including in April this year.

Kinok called for a 2 % tax on assets that exceed 10 milliliters, claiming that it would work Lifting more than 10 billion pounds general. Many employment deputies have urged Reeves to increase taxes on the wealthy, whether by raising the capital profit tax or imposing a possible “palace tax” on expensive real estate.

At a press conference with journalists on Monday, a spokesman for Sir Kerr Starmer said: “The Prime Minister has repeatedly said that those who have the widest shoulders should carry the largest burden.”

He also highlighted the fact that Reeves had previously rejected a new wealth tax, but he asked if he could exclude any such tax, he said: “I will not write a future budget for you now.”

Starmer spokesman said Reeves has already lifted duties on private and non -circles. Capital profit tax rates were also raised in the budget last year and increased taxes on private schools.

Economists estimated that the chancellor may face a financial hole of 20 billion pounds or more in its autumn budget, and as a result of the government’s decline in reforms to luxury, winter fuel payments and potential reduction of growth expectations.

Reeves has excluded any relaxation of her borrowing rules and acknowledged that forcing painful discounts in spending on Parliament will be difficult, leaving a significant increase in taxes as a solution.

She said in 2023, before the general elections, that she “has no plans for wealth tax”, a position she returned in April 2025.

She was then asked before the telegraph whether she might reject the increases in wealth taxes in its autumn budget, she said: “I can.” “I was really clear about this on a number of occasions,” she added.

On that occasion, she said: “We are not interested in the necessity of wealth.” “Our priority is the development of the economy, and this is the way that makes workers better and secures better public financing.”

Reeves has become frustrated by the representatives of the Labor Party who voted on social welfare savings while arguing by thwarting the cost by imposing taxes on the wealthy.

The cabinet is already anxious about the departure of the wealthy after it tightened the non -periodic rules in the budget last year He thinks Reducing the proposals to stop the exit.

“Wealth taxes are great in theory, but they never work in practice,” said Lord Nick McFireson, the former secretary of the Treasury and now the head of the Special Bank C Hoare & Co.

He added: “Why does the government that lost its revenues open by emphasizing its non -periodic reforms, a new interface on billionaire billionaires?

John Glen, the former conservative city minister, said that “it can be fully predicted” that the deputies of the Labor and the peer Party wanted to increase taxes on the wealthy.

He said: “We need the wealth of wealth to feel that they are part of the growth solution, not the illiterate economic children at work.” “The lack of a dangerous plan for luxury and discounts in growth expectations means that the next wave of wealth taxes will be considered.”