Blitz Bureau
NEW DELHI: THE Labour party’s new deputy leader, Lucy Powell, has said that the party should stick to its manifesto pledge not to raise key taxes, reported BBC.
Ahead of last year’s general election, Labour had promised not to increase taxes on “working people”, including National Insurance, Income Tax and VAT. Asked whether it would be acceptable to break this promise, Powell said, “We should be following through on our manifesto, of course. There’s no question about that.” In a statement released after the interview, Powell’s team said the “context” for this Budget was “particularly difficult” and she would continue to support the Chancellor and the PM on these issues.
Chancellor Rachel Reeves is widely expected to increase taxes in her Budget this month, with the government repeatedly refusing to rule out an income tax hike.
Economists say Reeves may need tax rises totalling as much as £30bn to meet her financial rules by a comfortable margin.
Pressed over how important it was for Labour to stick to its manifesto promises, Powell told Matt Chorley on BBC Radio 5 Live, “If we’re to take the country with us then they’ve got to trust us.” “We want to make sure that ordinary working people are better off as a result of this Labour government and we’re putting more money back into the pockets of ordinary working people,” she said.
“That’s what that manifesto commitment is all about. And that’s what this Budget will be about I’m sure.” She added, “It’s really important we stand by the promises that we were elected on and that we do what we said we would do.”
