Starmer No Longer Ruling Out Tax Rises, Minister Claims

Labour leader Keir Starmer is no longer dismissing the possibility of tax increases, according to comments made today by Business and Trade Secretary Kemi Badenoch during parliamentary exchanges.

Badenoch pressed Starmer on his current position regarding tax rises, contrasting it with Prime Minister Rishi Sunak’s response to the same question on July 9. “It is not the same answer that I received when I asked exactly the same question word for word on July 9?” Badenoch stated. “Then, the prime minister replied with just one word, ‘yes’, and then he sat down with a smug grin on his face. What’s changed in the past four months?”

Starmer responded by stating he would not pre-empt the upcoming Budget, but attributed potential economic challenges – including a projected downgrade in productivity figures and a resulting fiscal shortfall – to the Conservative government’s economic record. “I can say this, because the figures on the productivity review that’s being undertaken, this is a judgment on their record in office,” he said. “Those figures are now coming through, and they confirm that the Tories did even more damage to the economy than we previously thought.” He further claimed his party is already improving the economic situation, citing growth figures and interest rate cuts. You can find more information about the Office for Budget Responsibility and its forecasts here.

The shift in Starmer’s stance, or the perception of one, comes as the Labour party prepares to present its own economic plans and could influence public debate ahead of the next general election. Badenoch concluded by stating, “They broke the economy, we’re fixing it.” Further details on the UK’s economic outlook can be found at the Bank of England website.

Officials indicated that the Chancellor will outline the full Budget plans in the coming weeks.