Tax expert reveals key reasons why Rachel Reeves’ mansion tax won’t work
One of Britain’s leading tax experts has raised serious questions over Rachel Reeves’ planned mansion tax on high-value homes expected in her make-or-break Budget.
Dan Neidle, the founder of Tax Policy Associates, is in favour of property tax reform, but has questioned proposals to hit 100,000 of the most expensive properties with an average charge of £4,500, as they would be based on out-of-date valuations.
Ms Reeves is understood to be looking to revalue bands F, G and H to raise more cash to fill a black hole in her spending plans of at least £20bn.
Athena Stavrou25 November 2025 15:20
Reeves ‘relishes’ challenge of her job, says minister
Reeves ‘relishes’ challenge of her job, says minister
Athena Stavrou25 November 2025 15:00
Mayors to be given power to introduce tourist tax
A new tourist tax can be levied on overnight stays if local mayors decide to introduce the measure, the Government has announced.
Local leaders in England will be given the power to impose a “modest charge” on visitors, the Ministry of Housing, Communities and Local Government said.
Announcing the measures ahead of the Budget on Wednesday, Local Government Secretary Steve Reed said: “Tourists travel from near and far to visit England’s brilliant cities and regions.
“We’re giving our mayors powers to harness this and put more money into local priorities, so they can keep driving growth and investing in these communities for years to come.”
A consultation on details of the measure will run until February 18.
(AFP via Getty Images)
Athena Stavrou25 November 2025 14:42
Watch: Wes Streeting confirms milkshake tax
Wes Streeting confirms milkshake tax
Harriette Boucher25 November 2025 14:36
What Rachel Reeves could do to pension tax at the Budget
With Labour’s second autumn Budget taking place on Wednesday, speculation about further tax rises has grown rife.
She has warned she will not be making “easy choices” at the fiscal event on 26 November, as No 10 looks appears less concrete on its commitment not to raise taxes on “working people”.
This means no increase to the headline rates of income tax, VAT or national insurance contributions.
The Independent’s Albert Toth reports:
Harriette Boucher25 November 2025 14:31
Latest YouGov approval ratings show public confidence boost for government ahead of budget
Harriette Boucher25 November 2025 14:19
‘Strong opposition’ from dairy industry on sugar tax changes
Producers of milk-based drinks and representatives of the dairy industry raised concerns over the proposed changes to the sugar tax and what it could mean for their products.
A document released by the government has revealed “strong opposition” from the dairy industry, major producers, and trade bodies, with some manufacturers worried about how the changes could affect the taste of the product.
The report said: “There was concern that reducing added sugar would compromise taste, leading to consumer rejection.
“Respondents stated that reformulated products (where sugar reduction impacts mouthfeel, viscosity and texture) often fail taste tests or are rejected by retailers and consumers.”
Harriette Boucher25 November 2025 14:13
Reeves to cap salary sacrifices in Budget – reports
The Chancellor is said to be introducing limits on how much employees can stash in salary sacrifice schemes before it becomes subject to national insurance.
Often integrated into pension plans, this offers a tax-efficient route for workers to enhance their retirement savings.
Reports suggest she could cap this at £2,000 a year, which would reduce how much people put away in their pension pots.
This could put a dent in take-home pay for those who use the scheme to stay in a lower tax band.
Athena Stavrou25 November 2025 13:59
What is the sugar tax?
The sugar tax, introduced by the Conservative government in 2018, applies to manufacturers of pre-packaged soft drinks such as those sold in cans and cartons in supermarkets.
The tax, also known as the soft drinks industry levy (SDIL), aimed to help tackle obesity, including among children.
The existing levy has prompted a 46 per cent average reduction in sugar in the affected soft drinks.
The tax will now also apply to products such as packaged milkshakes, coffees and sweetened yoghurt drinks, but not drinks made on site in cafes and restaurants.
The sugar tax imposed on soft drinks was introduced in 2018 (PA Archive)
Harriette Boucher25 November 2025 13:44
How much would a £12,000 cash ISA limit really impact on people?
The Independent’s Business and Money Editor Karl Matchett reports:
Many, of course, cannot hope to save £1,000 a month. In fact, data from the Building Societies Association suggests more than one in four British adults (27%) have less than £1,00 in total available savings.
Yet those who do have the money available to save definitely tend to make full use of their maximum ISA allowance one way or another.
Zopa Bank have confirmed to the Independent that during the last full financial year, 46% of their Cash ISA customers funded more than £12,000 to their accounts. So far this year – so from April onwards – 34% have already done the same.
A third (33%) maxed out their Zopa cash ISA last financial year and almost a quarter (24%) have done so already this time around.
Athena Stavrou25 November 2025 13:41
