Future tax rise fears reignite after minister's statement on 'modest' incomes
Specifically that those with such incomes would be exempt from tax raids, but that leaves the door open to taxes for anyone whose income is not considered "modest".
Alexander told Sky News: 'We made a commitment in our manifesto not to be putting up taxes on people on modest incomes, working people. We have stuck to that.
Read more: Midlands areas named on new list of 'poorest' places in England
'We are determined, when it comes to taxation, that fairness is going to be our guiding principle.'
She added that wealth taxes were not 'directly' discussed, but Alexander did not rule them out for future tax rises.
These comments have also sparked a debate on what Labour qualifies as a "working person".
Sir Keir Starmer said in June that they were 'people who earn their living, rely on our [public] services and don't really have the ability to write a cheque when they get into trouble'.
The following day Chancellor Rachel Reeves said: 'Working people are people who go out to work and work for their incomes. Sort of by definition, really, working people are those people who go out and work and earn their money through hard work.'
It comes as the Secretary to the Treasury, Darren Jones, said that the government will not raise income tax, VAT or National Insurance on workers.
A Treasury spokesman said: 'The best way to strengthen public finances is by growing the economy – which is our focus.
"Changes to tax and spend policy are not the only ways of doing this, as seen with our planning reforms, which are expected to grow the economy by £6.8 billion and cut borrowing by £3.4 billion.
'We are committed to keeping taxes for working people as low as possible, which is why at last autumn's Budget, we protected working people's payslips and kept our promise not to raise the basic, higher or additional rates of income tax, employee National Insurance, or VAT.'
Join our dedicated BirminghamLive WhatsApp community for the latest updates sent straight to your phone as they happen.
You can also sign up to our Money Saving Newsletter which is sent out daily via email with all the updates you need to know on the cost of living, including DWP and HMRC changes, benefits, payments, banks, bills and shopping discounts. Get the top stories in your inbox to browse through at a time that suits you.
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


CNET
38 minutes ago
- CNET
These Stylish Bluetooth Headphones With Unbelievable Battery Life Are Still Cheaper Than Ever After Prime Day
Amazon Prime Day discount still available: Marshall's Major V headphones are worth it even at full price, but right now they're at an all-time low price of $100 -- or around 38% off. Move quickly though, because with Prime Day done and dusted, who knows how long this price will stick around. I might not be a true battle-tested headphone expert like CNET's David Carnoy, but I still love headphones and I'm confident in what I like about them. My most recent pickup, the Marshall Major V on-ear Bluetooth headphones, quickly became a pair that I adore. What is Marshall? Marshall is a British audio hardware company that got its start back in the early '60s and became renowned for producing amps and speakers for live music performances. More recently, it's made a mark in consumer audio, producing home speakers with a distinctly rock 'n' roll aesthetic -- think rough-patterned black leather materials, gold trim and prominent physical buttons. Hey, did you know? CNET Deals texts are free, easy and save you money. The brand has also brought its signature sound and style to headphones. Recently, I picked up the Major V, Marshall's latest iteration of its on-ear Bluetooth model (that's V as in 5), and I could hardly love them more. Marshall boasts that these headphones can last up to 100 hours on one charge, an almost ludicrous number that has largely held up as I've used them. The audio quality, while not a patch on the heavier hitters in the Bluetooth market, is excellent for its price, with strong bass and clean high notes. Vocals can sometimes come off a little shabby at first blush, but I find you get used to it real quick. The connectivity performance has also really impressed me. For such a cheap pair of headphones, the Major V easily maintain connections to at least two devices at a time and can switch between them almost seamlessly. That's not something I've found to be the case for a lot of the affordable Bluetooth headphones I've tried in the past. It's a strong contender overall in the budget Bluetooth headphones space. Why does this deal matter? I was able to scoop up the Marshall Major V for $100, the lowest their price has gone since they debuted last year. For that price, it's basically a steal. For the amount of blissful use I've gotten out of them so far -- listening to music, watching movies or getting through my audiobooks -- it's been more than worth the price of admission. For now, only the standard black Major Vs are on sale. They also come in brown, cream and midnight blue varieties, but those will cost you closer to full retail price for now. They usually retail for around $160, making their current price a 38% discount. While I was able to get this deal well in advance of Prime Day, there's no telling how long it'll stick around now that the event is over, so get a move on if you're interested in picking a pair up.
Yahoo
an hour ago
- Yahoo
Not priority to devolve probation says UK minister
A UK government minister has been accused of pouring "cold water" on the prospect of the Welsh government taking control over probation and youth justice. The Labour-led Cardiff administration has been pushing for further devolution on criminal justice - calls that Westminster colleagues have promised to consider. But Prisons Minister Lord Timpson has told a committee in the Welsh Parliament it is not "a priority" while the criminal justice system is "in crisis". Labour MS Jenny Rathbone said the comments were very disappointing. Lord Timpson says the criminal justice system faced "huge pressures" and there needed to be "stability" before "further changes" were considered. Senedd should not get control of police: Labour MP Westminster to keep policing under Labour plans Under the system of devolution established in 1999, the Senedd and Welsh government have never had control over criminal law. Various reports, including one from the former Labour Prime Minister Gordon Brown, have called for more devolution on criminal justice including youth justice and the probation service. Last summer's Welsh Labour manifesto said the party would "explore" the devolution of probation "to enable them to be more locally responsive". It was planned as part of a strategic review into probation and added it would "consider" the devolution of youth justice. Speaking to the Senedd's equality and social justice committee, the Prisons' Minister Lord Timpson told MSs that "we need to be in a much more stable position before we can think about further changes". Mick Antoniw, the former chief legal adviser to the Welsh Government, says there are "volumes of evidence" that devolution of probation "needs to happen and quickly". The Labour former counsel general told the committee that there was "no logical response to that other than we've had a decade of delay on actually looking at the enormous accumulation of evidence". Questioning Lord Timpson, he said: "What you seem to be suggesting is that we are going to go through that process of just continually looking at the evidence without ever really coming to a proper conclusion." Former Plaid Cymru leader Adam Price added: "Are you ruling out for the foreseeable future the full devolution of executive and legislative powers?". Lord Timpson said he wanted to "stabilise" a "bruised" service but added: "I'm not ruling anything out, I'm not ruling anything in. "What I'm focused on is trying to sort out the crisis in our justice system." After the meeting committee chair, Labour MS for Cardiff Central, Jenny Rathbone said the committee was "very disappointed". "The Welsh government has already started the groundwork to prepare because it believed there was a realistic prospect that these aspects could be devolved soon," she said. "This is in stark contrast to Lord Timpson's evidence before the Committee today which seemed to pour cold water on the prospect."
Yahoo
an hour ago
- Yahoo
BoE's Bailey says uncertainty continues to weigh on growth expectations
LONDON (Reuters) -Bank of England Governor Andrew Bailey said on Monday that uncertainty continues to weigh on growth expectations, in a letter to G20 finance ministers and central bank governors, urging vigilance against the risk of disruptive market moves. As the chair of the G20's financial stability watchdog, Bailey said: "The FSB (Financial Stability Board) is closely monitoring market developments and stands ready to act, as necessary." Since April, when U.S. President Donald Trump's "Liberation Day" tariffs roiled financial markets, conditions have improved and asset prices have recovered despite heightened uncertainty, he said. "We need to remain vigilant, however, to the risk of disruptive market moves and we will look at the lessons to be learnt from the market events in April," Bailey said in the letter, which was published by the FSB. Earlier in the day, the FSB delivered a new plan on how to tackle climate risks, but paused further policy work amid a retreat by the United States that has tested efforts to advance a united financial policy on climate-related risks. Sign in to access your portfolio