Tories Pledge to Abolish Labour's 'Mansion Tax'

The Conservative Party has pledged to repeal the proposed 'mansion tax' if they win the next general election, according to Shadow Chancellor Andrew Griffith. The tax, slated to take effect in April 2028, would impose an annual charge of up to £7,500 on properties valued at over £2 million.

Griffith, speaking at the Conservative conference in Birmingham, described the tax as 'vindictive' and warned it would be 'simply unaffordable' for retired individuals living in homes whose values have appreciated significantly over decades. He also asserted that the levy would impact those residing in 'ordinary homes' who commute long distances.

He proposed rebranding the charge as the 'Family Homes Tax' and vowed its abolition as part of a broader Conservative aim to eliminate one tax in every budget, a strategy emulating former Chancellor Nigel Lawson. "People who have worked hard to buy their home and have lived in it for years will face huge tax bills, and many will have no way to pay," Griffith stated.

Griffith questioned the economic rationale behind the tax, citing Labour's own figures suggesting it would devalue homes and generate less than 1% of the revenue collected by council tax. He challenged current Chancellor John Healey to remove the tax in his upcoming budget, adding, "If he won't, the next Conservative government will."

The Conservatives estimate the officially named High Value Council Tax Surcharge would generate £400 million annually. They propose to fund its abolition by increasing efforts to collect unpaid student loans from international students. "I didn't come here to raise taxes. I came here to lower them," Griffith declared.

He also noted that the party has committed to scrapping Labour's proposed 'family farm tax', removing VAT from private school fees, and abolishing stamp duty upon returning to power. "Like Nigel Lawson, it is my ambition to scrap at least one tax every Budget," he added.

Griffith acknowledged that the Conservatives would only pursue tax cuts when fiscally feasible and adequately funded, amid speculation that Conservative leader Kemi Badenoch might not fully commit to abolishing inheritance tax in her upcoming speech. Instead, she is expected to propose a reduction in its rate or an increase in the threshold at which it applies.

Regarding a Net Zero charge on packaging, which could increase annual grocery bills by £50, Griffith conceded it represented "the sort of thing the old Conservative Party went along with." He also admitted that the party had previously, while in government, introduced excessive red tape.

Griffith criticized the current government, suggesting Britain is nearing a "socialist-style 'command economy'" where the state expends a significant portion of national income and millions rely on state funding. He accused Prime Minister Andy Burnham of seeking to return Britain to a perceived idealized past of the 1970s.