Sir Keir Starmer has signalled potential tax increases for individuals earning from property and shares, hinting at a possible capital gains tax hike in the forthcoming Budget.
The Labour leader clarified his stance on what constitutes a 'working person', stating: "Well they wouldn't come within my definition." Labour has committed to not raising VAT, national insurance, or income tax for working people, a promise both Starmer and Chancellor Rachel Reeves intend to keep.
Despite this, there is speculation that Reeves may be considering tax rises and spending cuts totalling up to £40 billion to plug the £22 billion deficit left by the Conservatives and protect public services from further austerity.
Speaking from a Commonwealth summit in Samoa, Starmer remained guarded about specific tax policy details, telling a TV interviewer: "We're going to have to make difficult decisions in the Budget." READ MORE: DWP state pension error sees tens of thousands of people owed £1,000s When questioned about whether he would classify himself as a working person, he elaborated: "I would define a working person as somebody who goes out and earns their living, usually paid in a monthly cheque," according to the Mirror.