Alex Brummer argues that proposals for wealth taxes risk weakening UK growth by discouraging investment, saving and entrepreneurship. He urges Andy Burnham’s government not to pursue such measures to fund affordable housing and higher defence spending, characterising the political appeal of taxing the wealthy as divisive.

The article notes support for a levy on households with assets above £100 million, proposed by economist Gabriel Zucman, including a ten-year post-departure tax rule intended to limit avoidance. Brummer cites concerns from Jim O’Neill, the Institute for Fiscal Studies and the International Monetary Fund, arguing that higher taxes on capital gains or wealth could deter innovators while raising relatively little revenue.