The Labour Party has risked alienating itself further from left-wing supporters, after Shadow Chancellor Rachel Reeves confirmed that they would not pursue a wealth tax for the ultra-rich should they assume office next year.
This is a stark departure from the position she held just two years ago. Reeves had previously suggested a tax on wealth to raise £12 billion for the economy. With the door of Number 11 Downing Street now in sight, she has rowed back from this stance.
Labour are on course for a huge victory in the 2024 General Election. Some polls have the opposition leading by 27 points. The last 13 years of Tory rule now seem to be taking their toll on the public, who have grown tired of the government’s ongoing failures.
An open goal now presents itself to Reeves and her colleagues – but they won’t be committing themselves to any radical redistribution policies in the months ahead. Outlining her business agenda in The Telegraph, the senior politician outright ruled out a wealth tax.
“I’m in favour of wealth creation, and I want to see more of that in Britain. I don’t see a route towards having more money for public services that is through taxing our way there. It is going to be through growing our way there. There will be no wealth tax.” | Rachel Reeves
Reeves argues that growth, and not taxation, will lead to greater prosperity for the UK. However, she is failing to convince other left-leaning politicians. Jenny Jones, a peer in the House of Lords and senior figure in the Green Party, hit out at Labour for ‘replicating Tory policy’:
“The decision to not implement a wealth tax is a BAD move. It’s just replicating Tory policy. Anyone who cares about social justice and sound economics must now vote for the Green Party in next year’s General Election.” | Jenny Jones
