Millions of middle-class families face £8,000 tax raid in 2025 | Politics | News




Millions of middle-class families face paying £8,0000 more on their tax bill next year because of Labour raids on their pockets.

Hikes in council tax and the start of VAT on school fees mean households will pay thousands more in levies in 2025.

Andrew Griffith, the shadow business secretary, said: “This level of tax raid is completely unacceptable and fails to understand what it’s like to try and bring up a family to a reasonable standard. This Government is completely out of touch with middle Britain.”

He said that Labour’s policies so far have led to “one of the biggest transfers from the aspirant class to the public sector that anyone has ever seen”, adding: “It sends out a shocking signal to anyone who is trying to do the right thing by themselves and their family to try and get on in life.

“We are heading for a January of discontent. The best New Year present that Rachel Reeves could give is to change and change tack quickly.”

A middle-class family with one child attending a private school would be hit by an extra £7,730 of taxation next year, an analysis has suggested.

Chancellor Rachel Reeves, who increased taxes by £40 billion when she delivered her fist Budget in October, has also refused to rule out further raids next year.

Education Secretary Bridget Phillipson defended the private school VAT raid which will come into force on Jan 1, saying that tax breaks for private schools are a “luxury our country cannot afford”.

She went on to accuse private schools that their warnings about the impact of the policy have been “nothing short of scaremongering“ and insisted that according to the Government’s analysis, “very few” families will move their children out of fee-paying institutions.

 



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Posted: 2024-12-29 09:28:51

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