Jeremy Hunt said there was a chance of a tax cut in next week’s autumn statement, saying the economy had “turned a corner”.
Before the financial announcement on Wednesday… Advisor He said it as Inflation fell by half during the year“This is the moment” to focus on growth.
But he said there was a need to “reform our social care system” and that the “priority” was to help businesses.
Hunt is also considering cutting inheritance tax, which would spark criticism for subsidizing the wealthy while others suffer from rising living costs.
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“The big message is on tax He told The Telegraph: “If there are cuts, there is a route to reducing the tax burden, and a Conservative government will take that route.”
“It’s not an easy road. There are tough decisions you have to make to get there.”
“But we believe that if we want to grow the economy, this will be an autumn statement for growth, and we have to show the country that there is a path to a lower tax economy.”
Hunt also said he was “personally uncomfortable” with the UK’s tax burden, saying: “Taxes are too high and we need to get them down.”
The Institute for Fiscal Studies (IFS) said in September that the tax burden was on track to rise from 33% of GDP in 2019 to 37% next year.
The group said this would represent the biggest jump in the tax burden during a non-wartime Parliament.
Hunt pointed to the “more dynamic, vibrant and prosperous economies” in North America and Asia “where they generally have lower tax burdens” as what he sees as the “benchmark” for the UK.
According to The Telegraph, Mr Hunt and… Rishi Sunak Inheritance tax could be cut from 40% in the autumn statement.
HMRC says only 4% of estates paid inheritance tax in 2021.
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Former Conservative chancellor Lord Clarke said the move might please Tory MPs demanding tax cuts as the party trails Labor by more than 20 points in the polls, but others might find it “appalling”.
Lord Clarke told Times Radio: “Well, a tax cut is not what I would choose. In fact, I’m not sure he has any scope for a tax cut.”
“Choosing an inheritance tax at present may appeal to the conservative right, but it leaves them open to the most egregious criticism when inflation and the status quo make the poorest people in this country so vulnerable, giving those families tax breaks.” Those lucky enough to have members have capital above the threshold through inheritance tax and pay no significant amount of inheritance tax.
“And I’m not sure that the economic and financial situation of the country justifies that.”
Labor leader Sir Keir Starmer said he would wait to see what the fall statement will contain before commenting on any plan to cut inheritance tax, stressing that he wanted to see a “serious plan for growth.”
When asked point blank by The Telegraph whether tax cuts would be in his budget, Hunt did not answer directly.
“Without pre-empting the decisions that the Prime Minister and I take, this is an autumn statement for growth. It is a turning point for the economy,” he said.
Hunt said Friday The best way to reduce the “tax burden for everyone” is to grow the economypromoting industrialization as part of the “next part of the economic plan.”
Elsewhere in the Telegraph interview, Hunt said he would stand as an MP at the next election, despite speculation he might resign.
The Liberal Democrats are eyeing the Surrey seat to be contested.
“I realize that this is the fight of my life, but I am ready for this fight and I am very confident that I will return to Parliament after the next elections,” he said.