The UK Treasury contradicted Prime Minister Rishi Sunak’s claim that Labour Party would raise taxes by £2,000 for every working family. Sunak made this claim during a televised debate with Labour leader Keir Starmer before the upcoming election, where they debated issues such as cost-of-living, immigration, and healthcare. However, the Treasury’s most senior civil servant stated that officials had not calculated that number and were not involved in producing the Conservative Party’s claim about Labour’s tax policies.
The Conservative Party document claimed that Labour would need to find £38.5 billion to meet its spending commitments and suggested that this would lead to a tax increase of £2,094 per working household over the next four years. The document indicated that almost every costing was conducted by the Treasury, but the civil servant’s letter to Labour refuted this claim, stating that the £38.5 billion figure was not based on Treasury analysis. The civil servant warned Conservative officials about presenting figures as if they were produced by the Civil Service.
Despite Sunak winning the debate according to an opinion poll, the letter from the Treasury official could damage his image as someone who leads with integrity, a promise he made when he became prime minister. Polls indicate that the Conservatives are likely to lose the election, with Labour projected to win for the first time since 2005. Labour accused Sunak of lying about their tax plans and stated that it is the Tories who have made unfunded promises that would lead to higher taxes and borrowing.
During the debate, Starmer dismissed the £2,000 figure as nonsense, claiming it was based on pretend Labour policies. The Conservative Party defended its document, stating that it used clear Labour policies and official Treasury costings with low assumptions. They called on Labour to clarify which policies are still part of their platform. The upcoming election is high-stakes, and the controversy surrounding Sunak’s claim about Labour’s tax plans adds fuel to the already tense political atmosphere.
