Income Tax Debate Intensifies as Badenoch Challenges Starmer in Commons

Shiva K Dhakal
National Press Corporation(NPC)
United Kingdom—Kemi Badenoch has challenged Prime Minister Keir Starmer over Labour’s plans for income tax ahead of next week’s Budget, in a tense exchange during Prime Minister’s Questions.

The Conservative leader claimed the government had initially briefed that income tax would rise, only to “unravel” the position shortly afterwards. She pressed Starmer to clarify whether the Budget would include frozen income tax thresholds, a move that would push more earners into higher tax bands as wages increase.

Starmer declined to confirm any details, insisting the chancellor would set out the full Budget next week. He said it would be a “Labour Budget with Labour values”, adding that the government would neither impose austerity nor launch what he described as a “borrowing spree”.

Badenoch argued it was “quite clear” Labour intended to freeze thresholds. Shadow chancellor Rachel Reeves has previously indicated that such a measure could breach Labour’s manifesto commitments, though threshold freezes were first introduced under the Conservatives.

The fiscal decisions to be announced next week are expected to set the tone for Labour’s long-term economic strategy as the party seeks to balance promises on growth with pressures on public finances.