Rachel Reeves to reject wealth tax over exodus fears – reports

Chancellor expected to dismiss calls for 2% levy on assets over £10m

Sahar Nazir
clock • 2 min read

Chancellor Rachel Reeves is expected to reject pressure from Labour MPs to implement a wealth tax after cabinet ministers reportedly cautioned that this would not raise money as it would lead to wealthy individuals exiting the UK.

Reeves faces pressure from backbenchers and unions to levy a new tax on the savings, investments and property of the wealthy, according to The Times. Former Labour leader Lord Kinnock suggested there should be a 2% tax on assets worth over £10m. Cabinet ministers reportedly described the wealth tax as a "non-starter". "Wealth taxes don't work," one cabinet minister told The Times. "Just look at what's happened in other countries that have introduced them. They just don't raise money, certainly not the kind of money that we're looking for." Another cabinet minister said a wealth ...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

Sahar Nazir
Author spotlight

Sahar Nazir

News Editor at Professional Adviser

More on Your profession

One Four Nine Portfolio Management surpasses £800m in AUM

One Four Nine Portfolio Management surpasses £800m in AUM

As firm expands investment team

Sahar Nazir
clock 10 November 2025 • 2 min read
Autumn Budget 2025: Ministers warn Reeves against income tax rise – report

Autumn Budget 2025: Ministers warn Reeves against income tax rise – report

Concerns about consequences of breaking Labour’s manifesto commitment

Professional Adviser
clock 10 November 2025 • 1 min read
PA Asks: Should the FCA intervene to tackle pension delays?

PA Asks: Should the FCA intervene to tackle pension delays?

Plus, did the FCA's consolidation review go far enough?

Professional Adviser
clock 07 November 2025 • 1 min read