Chancellor Rachel Reeves finds herself at the centre of a family feud after her Conservative-supporting uncle launched a scathing attack on her recent budget, describing it as a "bloody disgrace" and claiming the Labour government is "totally out of their depth."
Family Rift Over Fiscal Policy
Terry Smith, the 73-year-old retired construction industry boss from Gillingham, Kent, didn't hold back in his criticism of his niece's financial plans. Despite acknowledging that Ms Reeves is a "really good person," Mr Smith declared: "I feel she and the government are totally out of their depth."
The lifelong Tory supporter, who previously criticised the Chancellor's first tax-hiking budget last October, expressed his frustration at what he sees as continuous tax increases. "People work hard to make their lives better and all she's doing is coming back for more and more tax," he stated, referring to the £26 billion of tax rises announced in the budget.
Comprehensive Critique of Budget Measures
Mr Smith took particular issue with what he perceives as the budget's focus on "benefits people," questioning how this supports working-class individuals. He accused the Chancellor of breaking manifesto promises by freezing tax thresholds in what he called a "sneaky way" of increasing revenue.
The budget's approach to savings and pensions came under fire, with Mr Smith highlighting the reduction of cash ISA allowances from £20,000 to £12,000 and the new National Insurance charges on salary sacrifice pension contributions above £2,000. "Charging NI on pension savings which help people save for their retirement so they are not a burden on the state doesn't make any sense," he argued.
Property taxes also featured prominently in his criticism, describing higher council taxes for homes worth over £2 million as a "property tax for people who worked really hard." He questioned why those who had "done all that hard work and paid all their taxes" should be "penalised."
Broader Policy Concerns
Mr Smith didn't limit his criticism to taxation, addressing several other budget measures:
Benefits system: He attacked the decision to axe the two-child benefit cap, stating: "If you can afford children, fine. If you can't afford them, don't have them." He claimed the government was "looking after the people who don't want to work – or say they can't work."
Energy policy: The retired businessman questioned subsidies for green energy, asking "if it doesn't make money, why do it?"
Business rates: He called for targeting "big warehouses which have to pay very little tax" rather than "taking it out of smaller firms."
Fuel duty: Mr Smith suggested multinational companies like Shell and BP should "be hit with a bigger tax rather than poor old motorists."
Political Fallout and Alternative Vision
Expressing his disillusionment with the current government, Mr Smith declared: "This government is unfit to run the country." While praising Tory leader Kemi Badenoch's "brilliant" budget response, he suggested Nigel Farage might be worth "giving the guy a chance."
He endorsed Farage's approach, saying: "He doesn't put up with people who don't want to work, the waifs and strays. These problems need hard government, which we haven't got."
Mr Smith, who describes Margaret Thatcher as "the greatest Prime Minister I've ever known," went so far as to claim: "We have a socialist government turning into a Marxist government."
The family conflict highlights the deep political divisions within the country, with Mr Smith concluding that at present, "it's a bloody disgrace, it's so weak. We're going down and down."
