Nigel Farage is reconsidering his proposed tax policies for the initial 100 days of a potential Reform UK administration. The party’s previous election agenda included raising the income tax threshold to £20,000 annually, intending to save each worker approximately £1,500 yearly. Additionally, the plan involved a £90 billion package that aimed to eliminate inheritance tax for estates valued under £2 million, reduce stamp duty, and cut fuel duty by 20 pence per liter.
Critics, such as the Institute for Fiscal Studies, had questioned the feasibility of these proposals, stating that the financial calculations in the manifesto were not realistic. Farage has now stated that any tax cuts under Reform UK would only be implemented after identifying sufficient savings. He emphasized the party’s commitment to avoiding deficit spending, contrasting with the practices of traditional parties like Labour and the Tories.
Richard Tice, the party’s deputy, clarified that while the manifesto’s core principles remain unchanged, adjustments are necessary due to the current economic conditions worsened by the incumbent Labour government. Tice highlighted the importance of prioritizing savings and regulatory reforms before considering tax reductions, emphasizing the need for a stable economic foundation.
In response, a spokesperson for the Labour Party criticized Farage and Reform UK, alleging that their economic strategies lack substance and would endanger family finances. The spokesperson underscored Labour’s focus on revitalizing the economy to benefit working individuals, contrasting it with what they perceive as Reform UK’s empty promises.
The Institute for Fiscal Studies had previously cautioned that the Reform UK manifesto would demand significant cuts to public services and doubted the financial viability of the proposed tax cuts even under optimistic growth projections.