Party of the rich.
Tory MP Oliver Dowden has defended Jeremy Hunt’s budget for disproportionally benefitting the wealthiest, while offering nothing to hard-pressed public sector workers during the cost of living crisis.
Dowden claimed that the tax cuts included in the budget for the wealthiest in society reward hard work.
Hunt set out his budget last week, where he announced a tax cut for people with pension pots worth more than £1 million.
The government says that the policy aims to prevent high-earners like doctors leaving the workforce once they have more than £1 million in their retirement funds. People are expected to be able to save up to £1.8m over a lifetime, up from £1.07m currently.
However, critics say that the policy benefits only the wealthy. People with more than £1.4 million in their pension pot are able to pay up to £150,000 less in tax.
Dowden defended the tax cut at a time when ordinary people continue to struggle, telling the BBC: “We’ve taken this action and the consequence of it is we’ll have more senior public sector workers working in the public sector, helping deliver on our core priorities, whether that’s cutting the waiting list, because we’ll have more consultants, whether that’s getting crime under control.”
Asked about the claim that the tax cut disproportionately benefits the wealthy, Dowden said: “I think it’s a basic, decent principle that if people work hard, they should be able to save money and invest for their retirement.”
Dowden clearly isn’t bothered about the public sector workers who work hard but who have had their pay cut in real terms as inflation soars, inequality grows and poverty reaches record levels.
Basit Mahmood is editor of Left Foot Forward
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