Labour struggles to quell claim of £2,000 tax hike after TV debate (2024)

Labour is desperately trying to quell claims they would hike taxes by £2,000 for families after Rishi Sunak hammered Keir Starmer on the issue in the first TV election debate.

The PM repeatedly accused Keir Starmer of plotting to increase the burden on Brits during the clashes on ITV last night.

And Labour went into damage limitation mode this morning after Mr Sunak's allies gloated that he had landed significant blows on his rival.

Shadow chancellor Rachel Reeves and fellow frontbencher Jon Ashworth were sent out to broadcast studios to accuse the premier of 'lies'. Ms Reeves flatly ruled out raising income tax, national insurance or VAT.

Meanwhile, the party released a letter it received from a senior Treasury official saying he had urged ministers not to claim the tax figures had been produced by the civil service.

However, Mr Sunak doubled down this morning - posting a video on social media of a huge red pig floating over British cities with audio of Sir Keir saying '£2,000'.

Labour's rearguard action came as snap polls suggested that Mr Sunak made an impact on key battlegrounds last night, despite the Conservatives lagging massively behind overall.

Rishi Sunak has been offered a glimmer of hope in his bid to overturn the odds at the general election as Tories celebrated his performance in last night's TV debate against Keir Starmer

Mr Sunak said it was a choice between him and Sir Keir for No10, saying his opponent would 'raise your taxes and raid your pensions'

Both leaders repeatedly spoke over each as host Julie Etchingham struggled to rein them in

YouGov suggested viewers thought Mr Sunak narrowly edged the contest by 51 per cent to 49 per cent. He was seen as doing better on the critical areas of tax and immigration, although Sir Keir had the advantage on almost everything else.

Savanta and JL Partners surveys this morning indicated that the Labour leader was seen as coming out on top.

However, Tories were jubilant that the tax issue has dominated the fallout from the debate.

Mr Sunak insisted during the ITV programme that 'independent Treasury officials' had costed Labour's policies 'and they amount to a £2,000 tax rise for everyone'.

The claim comes from a document produced by the Conservatives which made a series of assumptions to estimate the cost that might be attached to potential Labour policies.

It claimed that the difference between the money that Labour would raise from its policies and the amount it would spend would be a deficit of £38.5billion over four years, amounting to around £2,094 for every working household.

Some of the estimates in the document have been carried out by civil servants at the Treasury, using assumptions provided by politically appointed special advisers.

But the Treasury's permanent secretary James Bowler said ministers had been told not to suggest civil servants produced the headline figure.

In a letter to Labour's shadow Treasury chief secretary Darren Jones he said the £38.5billion total for Labour policies in the Tory document 'includes costs beyond those provided by the Civil Service'.

'Costings derived from other sources or produced by other organisations should not be presented as having been produced by the Civil Service,' he said in a letter to Mr Jones on June 3.

'I have reminded ministers and advisers that this should be the case.'

Mr Jones demanded an apology from Mr Sunak.

'Civil servants confirmed they had told Tory ministers they were not allowed to say their dodgy attacks on Labour were independently done by civil servants,' he said.

'Last night Rishi Sunak did it anyway. He lied to the British people. He must apologise.'

Energy Secretary Claire Coutinho repeated the claim on Wednesday, saying it was based on 'official costings from the Treasury'.

She told BBC Breakfast: 'I've worked in the Treasury and I can tell you that these are brilliant, independent civil servants and they would not be putting anything dodgy in there.'

On Times Radio Ms Coutinho even claimed 'this is something which has been signed off by the permanent secretary of the Treasury', adding 'those costings have been done by independent Treasury civil servants'.

Mr Ashworth said: 'I feel that Rishi Sunak was exposed as desperate last night – desperately lying about Labour's tax plans, making accusations about Labour's tax plans which are categorically untrue – Labour will not put up income tax, will not put up national insurance, will not put up VAT.'

He told BBC Radio 4's Today programme: 'Rishi Sunak was resorting to lying because he is desperate and what do desperate people do when in a corner? They lie.'

Jonathan Ashworth was left fuming at the PM's 'lies' about Labour's tax plans, after Mr Sunak berated Sir Keir for plotting to hike the tax burden for Brits by £2,000.

Cabinet minister Claire Coutinho this morning doubled down on the Tory claims about Labour's tax plans

Campaigning on will be low key today as commemorations for the 80th anniversary of D-Day begin.

Both Mr Sunak and Sir Keir attended the UK’s national commemoration event in Portsmouth alongside members of the royal family and armed forces veterans, before attention is focused across the Channel for further anniversary events in Normandy tomorrow.

Savanta found Sir Keir outperformed Mr Sunak in last night's debate.

They found the Labour leader beat Mr Sunak by 44 per cent to 39 per cent. They found Sir Keir had outperformed the PM on the NHS and public services (63 per cent to 25 per cent), on the economy (52 per cent to 36 per cent), and defence and security (43 per cent to 41 per cent).

Pollsters at the firm also found Sir Keir 'came across as most honest' among voters (54 per cent to 29 per cent), and that the Labour leader 'remained the calmest' (51 per cent to 36 per cent).

Chris Hopkins, Savanta's political research director, said: 'Presentationally, it felt like the Prime Minister had the upper hand at times – in particular towards the end of the debate – and although our figures suggest he lost narrowly, he probably still outperformed expectations.'

During the tetchy exchanges on ITV last night, where both leaders repeatedly spoke over each as host Julie Etchingham struggled to rein them in, Mr Sunak warned Brits that Sir Keirwill 'raise your taxes and raid your pensions' and has 'no plan' to tackle immigration.

Nigel Farage was the ghost at the feast after he announced a run to become a Reform MP, with Mr Sunak stressing that only he and Sir Keir can end up in No10 and a vote for 'other' parties will only guarantee Labour in power.

'Beyond raising your taxes and raiding your pensions, no one knows what he will do,' Mr Sunak said of his rival. 'I have a clear plan for a more secure future for you and your family.'

With Labour miles ahead in opinion polls, Mr Sunak had to go on the offensive last night. And he went hard from the start, berating Sir Keir for plotting to hike the tax burden by £2,000.

He later went on the attack over Net Zero saying Sir Keir would inflict big costs by forcing people to upgrade boilers and change cars. 'Mark my words Labour will raise your taxes,' he said.

However, Sir Keir said that was 'nonsense' and he wanted to 'turn the page' with a 'practical plan' for the country.

He jibed that Mr Sunak calling the election early demonstrated that he did not believe the 'plan was working'. 'If he thinks that things are going to get better why has he called it now?' Sir Keir said.

The leaders crossed swords on immigration, with Mr Sunak arguing the Rwanda policy could help stop small boats. When Sir Keir branded it an 'expensive gimmick' Mr Sunak shot back: 'You might not like it but I've got a plan.'

Sir Keir also taunted the 'desperate'Tory leaderthat he was the 'most liberal' PM ever because legal net immigration is running at record levels - with the latest figures at 685,000 a year.

Mr Sunak received a round of applause as he said he was prepared to leave the European Convention on Human Rights (ECHR) to ensure migrants could be deported. But Sir Keir was also clapped as he said the UK should stick to its legal obligations.

There were groans from the audience as Mr Sunak was challenged over NHSwaiting lists, and claimed they were 'coming down'. 'They are coming down from when they were higher,' he said.

Sir Keir said Labour would not pay a 35 per cent rise for junior doctors but insisted he could 'resolve' the long-running dispute that has hampered efforts to bring down NHS waiting lists.

However he blushed as he was put on the spot by the PM saying: 'Just standing there saying, 'I'll resolve it' isn't an answer. That's not a plan.'

Mr Sunak was targeted with more muttering from the crowd as he said the health service had been hit by 'industrial action'. 'So you're blaming someone else,' Sir Keir shot back.

The debate took place in front of an audience in the studio in Salford

Mr Sunak would barely manage to cling on to his own Richmond & Northallerton constituency

The stakes for Mr Sunak were underlined just before the start of the debate by huge Survation research showing Labour is on track for the biggest majority in modern political history at 324 seats - compared to the 179 margin Tony Blair achieved.

The survey - conducted using the so-called MRP technique - projected the Conservatives would be reduced to just 71 MPs.

Mr Sunak would barely manage to cling on to his own Richmond & Northallerton constituency. It also suggested Reform could win three, as Nigel Faragelaunches his bombshell bid to win a constituency.

Labour struggles to quell claim of £2,000 tax hike after TV debate (2024)

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