No VAT hikes planned following UK General Election

IN televised interviews both Conservative and Labour confirmed that there would be no plans to raise VAT in the UK when their manifestos are published.

Theresa May indicated in two interviews that whilst she was happy to confirm her plans on VAT she was not in a position to confirm that her party would not raise income tax and national insurance contributions contrary to commitments made prior to the last election.

She went on however to advise that it was her wish to try to cut taxes for working families but all would depend on the ongoing financial situation.

Shadow chancellor John McDonnell gave a similar undertaking on VAT but made it clear that if elected, Labour would increase personal taxation for those it considered rich and would also increase corporation tax on companies in order to fund its social programmes.