A Conservative MP has praised Sweden's tax reforms and suggested the UK should consider a similar approach to inheritance tax, wealth, and investment. Andrew Griffith, the former Economic Secretary to the Treasury, highlighted Sweden's policies after visiting the country's stock exchange, arguing they have helped create a strong culture of saving and investment.
Sweden's tax-free investment model
In a video posted on X, Mr Griffith said Sweden's stock exchange was "one of Europe's fastest growing" and had developed a strong pipeline of start-ups seeking capital. He said one factor behind its success was the absence of stamp duty on share purchases.
"It's a tax-free place to buy and invest in shares," Mr Griffith said.
ISK system and equity culture
The Conservative MP also pointed to Sweden's Individual Savings Account-style system, known as an ISK, which allows ordinary people to invest in stocks and shares through a tax-advantaged vehicle. He said: "Sweden's done a really good job about creating an equity investment culture."
Mr Griffith argued that the Swedish model encouraged people to save and make their own provision for retirement. He said: "People often think Sweden's socialist culture, that is a well out of date stereotype."
Fiscal transformation and debt levels
According to Mr Griffith, Sweden's financial reforms have contributed to it having one of the lowest levels of debt in Europe. He argued that encouraging individuals to invest was an important part of creating a stronger economy.
"Sweden recognises as part of its financial reforms that's led it to have one of the lowest levels of debt in Europe that it's really important for people to save and make provision for their own retirement and stock markets," he said. "Investing in stocks and shares is a really good way to do that."
His comments come amid continuing political debate in Britain over taxation, particularly the treatment of property, wealth, and investments. Inheritance tax has become a major political issue, with concerns over its impact on family businesses, farms, and estates. Stamp duty has also remained a contentious issue, particularly for investors and people buying property.
