Starmer Defines 'Working People', Sparks Tax Controversy

Prime Minister Keir Starmer's recent comments defining 'working people' as those who earn a regular salary have sparked concerns among landlords and shareholders, who may be targeted for tax increases in the upcoming Budget. Starmer explicitly stated that individuals earning income from shares or property do not fit his definition of working people, raising alarms about potential tax hikes on dividends, capital gains, and inheritance taxes. The Chancellor, Rachel Reeves, is expected to introduce significant tax changes aimed at raising £35 billion, while Labour's manifesto claims to shield working people from tax increases on income and national insurance. Critics argue that this narrow definition of working people overlooks the realities of many who rely on investments for income, including those with modest portfolios. Following backlash, Downing Street clarified that those with small savings would still be considered working individuals. The situation highlights the tension between Labour's fiscal strategies and its commitment to protect the livelihoods of a broader demographic.