FOR LABOUR, READ TAX, TAX AND MORE TAX !

As the leading contenders continue to try to bribe the electorate into voting for them, the differences between the choices available become evermore clear,

The Conservatives have promised, again, to make it easier for local councils to buy vacant land for the purpose of erecting an increased volume of social housing for rent; the slightly Thatcherite wrinkle in this plan is that the houses would be on fixed term arrangements and would be intended for sale to their tenants after a period of 10 to 15 years. It certainly isn't the first time that a prospective government has promised to build more houses and isn't the first time that one has promised to allow tenants to buy their homes, but at least it's a proposal that doesn't involve raking in vast amounts of new tax.

Labour, on the other hand, has announced that it would raise billions of pounds of new taxes by robbing savers, investors, pensions and the like. The want to introduce what has been called a 'Robin Hood' tax and increase the taxes paid on shares and other investments, seemingly without appreciating the effect that such a measure would have. Some years ago, Gordon Brown launched a huge attack on pension funds when he withdrew their low tax status and many have not only not recovered but have become unsustainable as a result; now, the Marxist McDonnell and Corbyn want to repeat the folly.

Money put into savings and investments is mostly out of already taxed income; can it possibly be right to tax it again in a penal fashion ? Admittedly, much of the money in pension funds has not been taxed but is only taxed when it is withdrawn; nonetheless can it be right to penalise people for being prudent and taking steps to make provision for their old age ? Labour's latest proposals would do exactly this and would make the vast majority of the population poorer.

As well as making us poorer, Labour's proposed raid on savings and investments would lead to financial institutions moving out of the UK to less oppressive locations. Given that the financial sector is a major contributor to the UK's economy and is already a little concerned about the consequences of 'Brexit', for Labour to add to the pressure would be foolish in the extreme. Nonetheless, being foolish has never stopped politicians from pursuing disastrous policies in the past, so why would it stop Corbyn and co. now ?