The IPPR, a think-tank closely aligned with Labour, is urging Chancellor Rachel Reeves's team, led by John Healey, to hit pensioners and property owners with new taxes ahead of the Budget on 28 October, rather than raising levies on younger workers. The report argues that Britain's ageing population is placing unsustainable pressure on public finances, and that the current system unfairly burdens young earners while shielding older generations who have benefited from decades of rising property and asset wealth. It comes as Labour MPs push for revenue-raising measures over spending cuts, with the tax burden already climbing towards a record high.

Key proposals include replacing council tax and stamp duty with a proportional property tax of 0.65 per cent annually, which would hit homeowners in London and the South East hardest, alongside extending national insurance to workers above state pension age and raising capital gains tax to match income tax rates. The report highlights a stark gap between an older worker earning £70,000 (facing a 40 per cent tax rate) and a graduate on the same income repaying a student loan (facing 51 per cent). The IPPR notes the over-65 population will rise from 18 per cent in 2024 to 27 per cent by 2075, while Capital Economics has predicted Budget tax rises of up to £25billion.