Labour will not raise taxes on “middle and low” earners, vows McDonnell

John McDonnell today vowed that Labour would not raise taxes for “middle and low earners”.

The shadow chancellor sought to fend off Tory accusations over Labour “chaos” on the economy by pledging a “fair” tax system that would not penalise the majority of workers.

McDonnell also said a Labour government would end “giveaways” for big business and wealthy individuals.

He was speaking out after Tory MPs spent a week repeatedly claiming they would offer “strong and stable” leadership amid the shifts in the economy during Brexit.

“We’ll end the tax giveaways to the corporations and the rich, we’ll demonstrate item by item how we’ll fund those, and that will be about a fair taxation system but let me give this assurance there will be no increases in income tax for middle and low earners,” McDonnell told ITV’s Peston on Sunday.

He was speaking after he published a 20-point plan detailing how a Labour government would end the “rigged economy”.

The proposals, released last night, included a raft of plans ranging from core Corbyn economic reforms to policies which seem to echo those of former leader Ed Miliband. They include a ban on zero hours contracts, an increase in the national minimum wage, the scrapping of the hated trade union act and giving all employees equal rights from “day one” in the workplace.

Labour is expected to publish its full manifesto in mid-May. Today, when pressed on Labour’s tax plans, McDonnell did not specify who would be classed as “middle and low” earners.

“We’re looking, the only increases will be on those higher percentages and that’ll be in our manifesto” he said.

The 20-point plan with which Corbyn and McDonnell aim to end a “rigged economy”