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Panel of swing voters have their say on Labour, taxes and public services ahead of Budget

24 October – Voters Labour gained from the Conservatives and the SNP at the election overwhelmingly back an increase in taxes (predominantly on the super-rich) to pay for an improvement to public services, according to new focus group research.

Doing so would make the swing voters more likely to vote for the Labour party again at the next election over a scenario in which taxes stay the same and public services see no significant improvement.

The results come from an online qualitative panel of 30 voters run by Survation in the run up to the Budget. Voters are from seats that Labour gained from the Conservative Party or SNP. Just over two thirds of participants responded that increasing taxes to pay for an improvement to public services would make them more likely to vote Labour again in the 2029 election.

A 51 year old former Conservative voter Labour gained in Cities of London and Westminster constituency said: 

“We need to celebrate tax and what it can do to keep us all safer, healthier, greener and more connected.”

One 70 year old voter Labour gained from the SNP in Edinburgh South said: 

“I really feel that public services are in a very poor state and we need to restore them to a better level […]If there is no tangible sense that the NHS, local council services and public infrastructure is not getting better by the next election, I think Labour will be in trouble.”

A recent poll by Opinium on behalf of the Trade Union Congress found that 62% of voters were in favour of asking those with the broadest shoulders to pay more taxes.

Last week it was reported that the Chancellor needs to find as much as £40bn in the Budget to cover a reported overspend from the last government and to avoid real-terms spending cuts to government departments.

Tens of billions of pounds could be raised by the government in Rachel Reeves’ first Budget with just 5 reforms to the tax system. Tax Justice UK and Patriotic Millionaires UK show that over £50 billion a year could be raised from taxing the super-rich and closing down unfair tax loopholes.

The revenue would provide the Chancellor with flexibility to deliver a fairer economy, invest in the NHS, local government and services and communities across the UK.

Sara Hall, Deputy Director at Tax Justice UK said:

“People are crying out for something hopeful at the Budget. Britain desperately needs investment in public services after more than a decade of underfunding. The economy is struggling and a cold winter is looming with energy prices up again. The super-rich and wealthiest companies should be paying a fairer share to give the NHS and other public services the money needed to get back on a good footing. Choosing to leave this money untaxed could leave the door open to the very real prospect of more austerity. Instead, the government has an open goal to raise the money needed to revive the country, while keeping the public on-side.”

Tim Stumpff, angel investor and member of Patriotic Millionaires UK said:

“We need a whole package of tax reform on the very richest for the United Kingdom to thrive. And we should expect ambition on this, not timidity, from our prospective leaders. The country deserves better. We have to face up to the cost of extreme inequality in the UK, and we should expect the very richest among us to help better invest in our struggling public services, repair our crumbling infrastructure, and address the unfair under-taxation of wealth.”

Included among the 5 tax reforms to raise over £50 billion a year are:

  • A 2% wealth tax on assets over £10 million, raising up to £24 billion a year from the country’s 20,000 richest people
  • Taxing income from wealth at the same rate of work with:
    • Equalisation of capital gains tax with income tax, which could raise £14 billion a year
    • Application of national insurance to investment income, raising up to £10.2 billion a year
  • Introduction of a 4% tax on share buybacks, raising approximately £2 billion a year
  • Closure of inheritance tax loopholes to raise £1.4 billion a year
  • Ending unfair tax reliefs for multinational corporations

[Ends]

Notes to editors:

  • For further information and to arrange interviews or comment, please contact Jake Woodier, Deputy Director: Comms at Tax Justice UK on 07503789994 / jake@taxjustice.uk
  • Interview results are derived from a Survation online qualitative panel of 30 swing voters conducted between 8th-11th October in seats that Labour gained from Conservative Party or SNP in July 2024. 29 participants answered the question referenced in the PR. Full responses can be found here.
  • Tax Justice UK is a campaigning and advocacy organisation. Our mission is to ensure that everyone in the UK benefits from a fair and effective tax system. We are not-for-profit and politically non-aligned. Tax Justice UK is a partner of – but independent from – the Tax Justice Network.
  • Patriotic Millionaires UK is a non-profit organisation addressing the destabilising impact of economic inequality. We represent a network of UK millionaires using the unique voice of wealth to fight inequality and advocate for progressive tax reform.
  • For further information and full details of the proposed tax policies, please see here.