Mark Robinson, a member of the group Patriotic Millionaires UK, has encouraged the Liberal Democrats (Lib Dems) to support a new wealth tax amid ongoing discussions within the party regarding its economic stance. Robinson, who humorously identifies as “the most left-wing man in commercial real estate,” expressed approval of the party’s recent call for a windfall tax on major banks. However, he argued that the anticipated £7 billion raised from this initiative is minor compared to what could be generated from more comprehensive wealth taxation.
Patriotic Millionaires UK is actively promoting increased taxes on the wealthy at various political conferences this fall, aiming to influence tax discussions ahead of the Budget scheduled for November. Chancellor Rachel Reeves is under pressure from factions within the Labour Party and unions to consider increasing taxes on high earners to ensure public finances remain stable.
At a fringe event during the Lib Dems’ autumn conference in Bournemouth, Robinson likened his advocacy group to “turkeys that will vote for Christmas.” The organization, aligned with a similar US initiative, is proposing a 2% tax on assets exceeding £10 million and an increase in capital gains tax to match income tax rates.
Historically, the Lib Dems campaigned to raise capital gains tax and reverse reductions to banking levies. Recently, the party has indicated interest in adjusting inheritance tax to ensure the wealthy pay more while reducing the burden on individuals inheriting modest family homes. However, the specifics of their taxation policy ahead of the next general election remain unclear.
The party has formed a working group to gather expert opinions on economic positioning. Lib Dem MP Bobby Dean noted that substantial tax announcements are usually expected before an election, emphasizing the need for a cohesive package. He advocated for linking wealth taxation to economic performance, pointing out the complications within the current tax system. Fellow MP Andrew George highlighted challenges related to their voter demographics and suggested reconsidering the terminology around “wealth tax” due to its perceived stigma, emphasizing the need to address growing inequality.
Source: https://www.bbc.com/news/articles/c0jqd21gnw3o?at_medium=RSS&at_campaign=rss