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Labour Urges Reverse Brexit in Next Manifesto, TUC Calls for Bank Tax to Aid Energy Bills
Developing
In Short: Former Labour leader Lord Kinnock has urged Andy Burnham to include a proposal for rejoining the EU in Labour’s next manifesto, while the TUC calls for a bank surcharge to help with energy costs.
Former Labour leader Lord Kinnock has called for Britain to reverse Brexit and rejoin the European Union in Labour’s next election manifesto, according to reports. Kinnock believes that rejoining the EU could appeal to former Labour voters who have switched to other parties since the 2024 general election.
However, the idea of rejoining the EU remains politically risky, as many in the Labour Party fear it could be seized upon by the Conservatives and Reform UK as evidence of betrayal to working-class voters who supported Brexit. Despite this, a recent poll by YouGov suggests that rejoining the EU is the most supported option among 2024 Labour voters and among Remain voters, Liberal Democrat voters, and Green voters.
During a BBC interview, Andy Burnham’s general secretary, Frances O’Grady, called for a 'social tariff' to help low and middle-income earners with their energy bills. This proposal involves a bank surcharge to fund the tariff. O’Grady also called for a windfall tax on social media companies and suggested equalizing Capital Gains Tax with income tax.
Lord O'Neill, an economist and former minister, has advised Burnham against implementing wealth taxes, arguing that they could hinder growth. However, O’Grady responded, 'With respect, I think he is wrong.' The TUC also plans to debate immigration at its annual congress and is likely to call for the government to water down its changes for existing migrants.
Labour MP Rachel Blake has called for the government to 'keep all options on the table' as it continues to reset relations with Brussels. Meanwhile, the Liberal Democrats and the Greens in England and Wales have also called for a windfall tax on banks, similar to the TUC’s proposal.
Despite the political risks, the TUC believes that its proposals, including the social tariff and wealth taxes, would be popular among Labour MPs. The Liberal Democrats and Greens have also shown support for these measures.
What's still developing
- In a wide-ranging BBC interview ahead of its annual congress in Brighton next week, the TUC general secretary said next month's Budget needed to show "the government is back in the service of the British people".
- While he said Burnham had got off to a good start as prime minister, he had a series of "asks" of the prime minister and the new Chancellor, John Healey.
- "And millions of families up and down the country are worried about turning on their heating this winter." Burnham has already offered "breathing space" - as he calls it – on the cost of living by temporarily scrapping VAT on electricity bills from October.
- In contrast, Conservative and Reform UK supporters were unmoved by any Labour position on Europe – including a pledge to loosen ties further, according to the poll.
Sources
- The i Paperlink