Politics

Labour tax grab: How Corbyn victory could cost you HUNDREDS… for living in your own home

Should the Labour Party win next week’s general election, Jeremy Corbyn’s tax assault aims to raise £82.9billion needed to fund these tax hikes. But the Conservative Party has now upped the stakes in the war of words as the battle lines are drawn ahead of next week’s national poll. It has posted a tweet listing ‘Labour’s 12 taxes of Christmas’ in reference to the famous festive song.

They are listed as higher inheritance tax, marriage tax, higher petrol tax, stealth heating tax, pensions tax, small business tax, drivers tax, home tax, movers tax, gifts tax, income tax and holiday tax.

Earlier this year as Labour began putting a plan together for a possible general election, the party mooted a huge overhaul of council tax that would raise billions of pounds.

Labour released its Land For The Many report in June, with one of the standout proposals being introducing a “progressive property tax” – which could see council tax replaced by one based on current house prices.

Homeowners would be sent a bill based on the value of their house, and would be charged more if they invested more into their home.

Labour explained: “To discourage the use of homes as financial assets, reduce the tax paid by the majority of households, and encourage more efficient use of the housing stock, we recommend that a Labour government should replace the council tax with a progressive property tax. This should be payable by owners, not tenants.

“The valuation of properties for tax purposes should be updated annually, and empty homes and second homes should automatically be taxed at a higher rate.

Although this plan was not included in its election manifesto, this does not completely rule out the possibility of Labour implementing the overhaul should the party come into power.

The Land For The Many report also suggested scrapping the single person discount on council tax, which gives those living alone 25 percent off their council tax bill.

Last month, analysis released by the Conservatives last month alleged a single person in an average house could pay £332 more a year if council tax was replaced by a new system without discounts for single people.

Using the electoral roll and demographic data, Tory researchers found 2.8million pensioners were currently living alone in England. The figure was equivalent to 13 percent of all English homes.

Tory researchers also calculated a new local tax based on 0.7 percent of property values could lead to an average £707 increase in annual bills for single households.

Shortly after Land For The Many was released, the Conservatives had claimed Labour’s new tax would cost an average home £375 more every year in tax.

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It added over just a single five-year Parliament families having to find £1,875 extra just to stay in their home.

The calculations stated the average property price in England in England is £243,128, meaning the for the average homeowner, the annual homes tax bill would be £1,701 per year.

Communities Secretary Robert Jenrick said: “Under Jeremy Corbyn, local residents face a barrage of new taxes on their homes and gardens.

“This is an unfair tax on widows and widowers, who deserve dignity and security in retirement.

“Both Labour and Liberal Democrats want to tax pensioners out of their family home, despite the fact that the elderly have worked and paid their taxes over their lives.”

Political think tanks also lashed out at Labour’s plans, with Adam Smith Institute head of research Adam Lesh telling Express.co.uk: “Labour has completely misunderstood the nature of the housing crisis.

“Their proposals are nothing more than an attack on private ownership and development of land, of families having a stake in society and an asset that they can call their own.

“It would result in fewer people having the opportunity to own their own home, not so-called ‘Land for the Many’.

“This is sensible tax reform that sadly Labour is undermining by putting it in the terms of class warfare.”

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