Reeves will have to turn to wealth taxes to plug the £30bn black hole

Reeves will have to turn to wealth taxes to plug the £30bn black hole Past experience with Labour suggests a preference for stealth taxes By Alex Brummer Updated: 22:01 BST, 25 May 2024 e-mail View comments Rachel Reeves recognises that if she is to march into No 11 Downing Street on July 5 it would be a big mistake to hit voters with huge tax rises straight away. The tax changes Labour has outlined so far would add a mere £3.6billion of revenue in the next financial year, leaving a huge shortfall and no guidance as to how it might be filled.

In spite of protestations that there would be no taxes on prosperity and wealth, that is what Reeves is proposing. Plans: In spite of protestations that there would be no taxes on prosperity and wealth, that is what Rachel Reeves is proposing The proposal to impose VAT on public school fees and end their charitable status, and the closing of loopholes for the non-domiciled rich, are wealth taxes. Even the promise to target tax avoiders with the aim of eventually collecting £5billion will hit the wealthy with access to sophisticated advice.

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