Stories

Thu, 21 May 2026

Thu, 21 May 2026 Wes Streeting pledges 'wealth tax that works'

Wes Streeting is proposing reforms to capital gains tax, as part of his pitch for the Labour leadership.

* Wes Streeting, former Health Secretary, has proposed introducing a "wealth tax that works" by equalising capital gains tax (CGT) with income tax.
* The proposal would raise £12bn per year and address an unfair system that "penalises work".
* Streeting suggests offering lower rates of CGT to "genuine" entrepreneurs who take risks building companies.
* Tax experts have a mixed response, with some praising the idea but others warning it could be complex to implement and may not target wealth inequality effectively.
* The proposal is different from the Green Party's suggested wealth tax, which would impose an annual tax of 1% on assets above £10m and 2% on assets above £1bn.
* Streeting has estimated that reforming CGT could raise between £12-14 billion per year.
* His proposal involves mirroring income tax bands for CGT and closing loopholes to prevent people disguising income from work as capital gains.
* Lower rates of CGT would be offered to entrepreneurs who take risks building companies.