UK Labour leadership candidate wants 65% top tax rate

The Guardian reports:

The 20 new policy pledges by Smith, whose campaign has been characterised by supporters of the Labour leader as “Blair-lite”, included economic policies that went significantly beyond the promises of the former leader Ed Miliband.

Announcements on Wednesday included plans to increase spending on the NHS by 4% in real terms every year of the parliament from 2020, with a commitment to increase health service spending in line with European averages, to reinstate the 50p top rate of income tax and to reverse the cuts to corporation tax and inheritance tax.

Another notable pledge was a promise to create a new wealth tax on the top 1% of earners, which Smith said would generate £3bn a year. The new tax would be a charge of 15% on unearned income and income from investment, he said, only applying to those paying the additional rate of tax for earnings of £150,000 a year or more.

So the guy who is meant to be the more moderate challenger to Jeremy Corbyn wants a top effective tax rate of 65% (plus VAT on top).

And wants to go back to a 40% death tax on people with assets (including a home) over 325,000 pounds.

I don’t think Theresa May has much to worry about next election.