Sunak and Hunt mull pre-Christmas inheritance tax and stamp duty cut in election giveaway to reverse polls

12 November 2023, 22:21 | Updated: 12 November 2023, 22:30

Rishi Sunak and Jeremy Hunt are mulling a pre-Christmas tax giveaway after better-than-expected finances created headway in the public purse.
Rishi Sunak and Jeremy Hunt are mulling a pre-Christmas tax giveaway after better-than-expected finances created headway in the public purse. Picture: Getty

By Chay Quinn

Rishi Sunak and Jeremy Hunt are mulling a pre-Christmas tax giveaway after better-than-expected finances created headway in the public purse.

The Prime Minister and the Chancellor could announce a major inheritance tax and stamp duty cut in the Autumn Statement on November 22 - as Sunak's party seeks to go into 2024 on the front foot.

The Tories currently trail Labour by 17 points in opinion polls - with a recent MRP tipping Sir Keir Starmer's party to better Tony Blair's 1997 landslide majority.

Read More: Rishi Sunak ‘confident’ of tax cuts as rumours of election next autumn increase

Read More: Sunak faces new calls to sack Braverman as Starmer blames Home Sec for far-right violence

Sunak and Hunt are considering whether tax cuts in 2023 could help turn the tide for the party ahead of a general election which must take place before the end of January 2025.

Hunt considers stamp duty and inheritance tax to be less inflationary than income tax - with CPI inflation set to fall by as much as two per cent next week.

Sunak and Hunt see tax cuts as a route to reversing their party's poll woes
Sunak and Hunt see tax cuts as a route to reversing their party's poll woes. Picture: Getty

But Tories eager to cut the record-high tax burden may have to wait until the spring budget, with Sunak still yet to sign off on the plans.

The cut to stamp duty will likely kick-start the housing market which is slower than usual after the pandemic - but critics say this will only worsen the chronic housing shortages that the UK has experienced in recent decades.

Supporters of lowering or scrapping inheritance tax say the move could shore up support in Tory heartlands and provide a boost for the party's fortunes.

Sunak is currently facing electoral wipe-out as even traditional Tory heartlands in the south of England seem to be within reach for Labour.

Jeremy Hunt has previously warned he will not cut taxes until inflation comes down in UK
Jeremy Hunt has previously warned he will not cut taxes until inflation comes down in UK. Picture: Getty

The prime minister made halving inflation by the end of the year one of the five key ambitions for his leadership, and Jeremy Hunt has signalled this target will be prioritised over tax cuts.

The Chancellor said during his conference speech in October that there can be ‘no short cuts’ towards bringing taxes down ahead of growing calls for tax cuts to be announced now ahead of a general election.

Jeremy Hunt told an audience at the Conservative Party Conference in Manchester: “If we are prepared to walk this difficult path it is possible to bring down taxes.

Labour leader Sir Keir Starmer and his shadow chancellor Rachel Reeves currently enjoy a 17-point poll lead - with the Tories desperate to reverse their fortunes
Labour leader Sir Keir Starmer and his shadow chancellor Rachel Reeves currently enjoy a 17-point poll lead - with the Tories desperate to reverse their fortunes. Picture: Getty

“But we can’t say when it will be possible.”

He previously ruled out tax cuts this year, and was unable to answer about next year, saying: “I don’t have a crystal ball. But if you’re asking me do I want to bring down the tax burden, the answer is absolutely yes.

He also announced a rise to the national living wage to £11 per hour, a crackdown on so-called benefits ‘shirkers’ and working to keep bringing inflation down.

More Latest News

See more More Latest News

Sara Sharif's father denies murdering the 10-year-old.

Father claims he begged to save Sara Sharif before being told ‘Leave it, she’s dead’

Breaking
Queen Camilla is unwell with a chest infection and has withdrawn from her engagements this week

The Queen withdraws from engagements this week after being taken ill, Buckingham Palace announces

Tesco customers are furious after being forced to wait hours to book a Christmas delivery slot.

'It's like getting Beyonce tickets': Fury as Tesco shoppers face 'ridiculous' online queues for Christmas delivery slots

Ladbaby has broken its silence on historic allegations of gripping.

Charity chart-topper Ladbaby breaks his silence on 'groping' allegations

Labour MP Chris Webb 'attacked and mugged' near London flat by phone snatching gang

Labour MP Chris Webb 'attacked and mugged' near London flat by phone snatching gang

The White House has been barricaded and restaurants and stores boarded up as tensions rise over the election.

Washington DC braces for unrest as White House is barricaded and stores boarded up ahead of US election

Sir Chris Hoy said 'if you're over the age of 45, go and ask your doctor' for screening

Sir Chris Hoy calls for men to be offered prostate cancer screening from the age of 45 after his terminal diagnosis

Kamala Harris went door-knocking in Pennsylvania on the night before the election

Kamala Harris surprises residents in Pennsylvania as she goes door-knocking in final bid to win votes

Nearly 600 police officers sacked in a year amid as shocking figures reveal extent of misconduct crackdown

Nearly 600 police officers sacked in a year as shocking figures reveal extent of misconduct crackdown

Hundreds of people died in the devastating flooding in Spain

British man who survived Valencia floods describes hearing his neighbours’ horrifying final screams before they died

Amy Dowden said she was ‘heartbroken' as she left this year's Strictly Come Dancing

Amy Dowden says her ‘heart is breaking’ after she confirmed she will not return to Strictly

Anthony Scaramucci said the row between Trump and Labour would blow over

'Anglophile' Trump's row with Starmer will have 'no impact' on wider relations with UK, Anthony Scaramucci says

Nick Ferrari attends his first Trump rally in Pennsylvania as he meets the crowd in 'the poorest city in the United States'

Nick Ferrari attends his first Trump rally in Pennsylvania as he meets the crowd in 'the poorest city in the US'

Exclusive
Nick Ferrari bumps into Nigel Farage in Pennsylvania as he reflects on Trump's "remarkable" foreign policy achievements

Nick Ferrari bumps into Nigel Farage in Pennsylvania as he reflects on Trump's 'near-death' experience

Live
Americans are heading to the polls in their millions today

US Presidential Election 2024 LIVE: Millions of Americans head to the polls in the final race for the White House

Proud Boys claim they will go to voting places as Trump repeats election fraud lies.

Proud Boys making plans to mobilise as Trump repeats election fraud lies