The Treasury has issued an update on a proposed wealth tax under Prime Minister Andy Burnham as over 100 millionaires call on him to tax them more. Gary Lineker is among 120 UK-based millionaires who signed an open letter urging higher taxes on their wealth.
The "Proud to Pay" letter, organised by the Patriotic Millionaires UK campaign group and published on Thursday, claims money raised from higher taxes on wealth could reduce inequality, support public infrastructure, and back small businesses.
Lineker and signatories speak out
The letter states: "We want you to tax us. We can afford it. We’re not talking about higher taxes on those who get up and go to work for their income every day, but on the very richest whose income is derived from the wealth they hold."
Lineker commented: "Paying your fair share is a basic British value, but so many ordinary people are already paying more than they can afford. Our richest people can do more and most want to."
Other signatories include crime writer Val McDermid, musician Brian Eno, former chairman of Greggs Ian Gregg, economist Gary Stevenson, and investor Julia Davies.
Potential revenue and polling
According to Patriotic Millionaires, a 2% tax on wealth over £10 million could raise £24 billion a year for the UK, while reforms to capital gains tax could raise a further £12 billion. Polling from the campaign group showed 80% of UK millionaires support a 2% tax on wealth over £10 million.
The open letter adds: "As you decentralise political power, you should also disperse economic power. Extreme wealth sitting idle in the hands of a few can be put to work: reducing inequality, investing in sustainable jobs, strengthening hospitals, schools and social care, supporting entrepreneurs with the skills and infrastructure they need, and giving small businesses access to affordable finance."
Treasury and opposition respond
Chief Secretary to the Treasury Emma Reynolds said she would welcome Lineker and other millionaires increasing the amount they pay into public coffers but would not be drawn on whether the government will consider their request. She said: "Well, look, it’s day four of this new government, and obviously any major tax changes would be announced at a budget. I welcome the fact that people of good means are saying that they want to pay more. They can pay more. There is a link on gov.uk, but look, we have to look at tax policy in the round, and we only make major tax announcements at budgets."
Conservative leader Kemi Badenoch said Lineker is "very welcome to pay more tax" but argued tax rises were not the answer. She told reporters: "On Gary Lineker, he’s very welcome to pay more tax. He can write a cheque to the Treasury. No one’s stopping him. But right now, we are seeing the people who create jobs leaving the country… If we keep taxing the people who create the jobs, who generate the growth, we’re not going to have any taxes at all."
