Keir Starmer is ‘a working person’ so could be shielded from tax rises, chancellor admits

Sign up for the View from Westminster email for expert analysis straight to your inbox Get our free View from Westminster email Please enter a valid email address Please enter a valid email address SIGN UP I would like to be emailed about offers, events and updates from The Independent. Asked whether Sir Keir Starmer was defined as a working person, Rachel Reeves said: “The prime minister gets his income from going out to work and working for our country.” Before the election, Labour pledged not to raise taxes for working people, and ministers have come under increasing pressure to define the term. Asked on LBC radio whether Sir Keir was a worker, Ms Reeves said: “He’s a working person.” Earlier this month, the PM was forced to pay back more than £6,000 worth of gifts and hospitality he received since entering No 10 after a row over ministerial donations. Ms Reeves added: “In this budget, we made a clear commitment in our manifesto not to increase the key taxes that working people pay: national insurance, income tax and VAT, and despite the difficult circumstances and unfunded commitments of the previous government, I’m determined to stick to that manifesto commitment in the Budget next Wednesday.” The prime minister’s comment has heightened expectations of a hike in capital gains tax. “While raising the rate of capital gains tax will undoubtedly affect many working people and reduce the rewards for investing – potentially undermining the government’s wider ambition to drive economic growth – the chancellor will argue it is broadly wealthier people who will shoulder the burden.”