Starmer Sticks to No Tax Rise Promise Ahead of Election
Labour leader Sir Keir Starmer has doubled down on a key election promise: no personal tax hikes. In a bold move to woo voters, Starmer insists Labour’s upcoming manifesto will keep taxes flat, aiming to appear fiscally responsible and voter-friendly.
No Income Tax, NIC or VAT Increases for Five Years
Starmer confirmed Labour will not raise income tax, national insurance, or VAT for at least five years. “We will launch our manifesto very soon and that will have no tax surprises in it,” he said. “All of our plans are fully funded and fully costed.”
This mirrors the Conservative Party’s vow to hold the line on taxes if re-elected, setting the stage for a clear-cut tax showdown between the two big parties.
Institute for Fiscal Studies Warns Tax Cuts Could Harm Services
But the move ignores warnings from the Institute for Fiscal Studies (IFS), which claims tax rises may be vital to keep public services afloat. IFS economist Bee Boileau warned that without extra cash from taxes or borrowing, either services would have to be cut or allowed to worsen further.
“They can cut the scope of what the state provides or accept further worsening of public services which already look under strain,” Boileau said. “Or they can raise taxes, or borrow more, to maintain funding levels. Neither party has been clear on their plan or shown ambition to reduce state services.”
Tax Policies Set to Dominate Election Battle
As election day nears, tax promises and public service funding will take centre stage. Voters will be watching closely to see how Labour and the Conservatives intend to balance the books — and whether their pledges hold water once in power.
