Reeves must come clean on plans for a £10.4bn stealth tax grab

EMBARGO: Immediate Release

Responding to Chancellor Rachel Reeves refusing to rule out extending income tax and national insurance threshold freezes, which would equate to an estimated £10.4 billion stealth tax grab, Liberal Democrat Treasury Spokesperson Daisy Cooper MP said:

“It looks like the Chancellor is preparing to clobber families with another £10bn stealth tax bombshell.

“This would be copying the mistakes of the Conservatives and Rishi Sunak’s endless stealth taxes and would drag more people on low incomes into paying income tax for the first time.

“The Chancellor should be turbocharging the economy with a much more ambitious trade deal with the EU, not choking off growth through years of tax hikes.

“Instead of continuing the cash grab, she should stick to her word and rule out extending the stealth taxes ahead of the budget.”

ENDS

Notes to Editor

The full analysis from the House of Commons Library can be found here.

The Library’s fiscal estimates are based on the effects on personal taxes (income tax and NICs) and direct changes to benefit receipts that result from household incomes moving across eligibility thresholds.