It’s party conference time again and John McDonnell, the Shadow Chancellor, has just delivered his plan for a future Labour Government. Some may say there’s little chance of that happening but in today’s world, where Donald Trump can run for US President, anything can happen. I’ve set out below the main announcements likely to be of interest to the Applause community.
- Labour will ‘end the scourge of tax avoidance’ with changes to the rules and an increase in HMRC numbers. We’ve grown accustomed to politicians talking tough about tax avoidance, and few of us would disagree with them. The difference here is the pledge of additional staff for HMRC. In recent years, HMRC have lost a lot of staff, damaging the tax system.
- There will be a move from taxing income to taking wealth. This has been floated before by Labour and the Lib Dems, but it failed to stick. It will be interesting to see how this one develops.
- The welfare state will better support the self-employed. Labour have picked up on the big increase in the self-employed, and recognise that our tax and welfare systems have not kept pace.
- There will be a ‘real’ living wage, at £10+ by 2020. Labour promise much-needed help for small businesses with this one.
Next week it’s the turn of Philip Hammond and the Tories.
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