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ITV News
22 minutes ago
- ITV News
Majority of public back housing and developments in their area
A majority of people back the idea of new housing or developments where they live, new data has indicated. The poll of 2,005 people conducted by Public First in July found that 55% of respondents would 'generally support new buildings or developments or buildings being built in my local area'. The research found that Labour backers (72%) and young people aged 25-34 (67%) were most likely to be 'Yimby' (yes in my backyard). Reform backers (44%) and people in the East of England (44%) were the most likely groups to say that they generally oppose development in their locality, the poll found. Overall, 33% of people said that they would generally oppose development. Sir Keir Starmer has pledged to put 'builders not blockers first' and 'overhaul the broken planning system'. In December, the Prime Minister announced new mandatory targets for councils when it comes to housebuilding. He said at the time: 'Our plan for change will put builders not blockers first, overhaul the broken planning system and put roofs over the heads of working families and drive the growth that will put more money in people's pockets.' In its report, The Quiet Yes, released on Thursday, Public First argued that a 'more representative planning system' is needed. The policy research organisation recommended that councils bring in changes to surveys and research on public opinion on building plans and questions about how residents would want councils to spend certain money earmarked for development. Jack Airey, director of housing and infrastructure at Public First, said: 'Most people instinctively support new development, yet their voices go unheard. 'Our research finds the public understand the housing shortage and back new homes, but the planning system doesn't reflect that reality. 'Councils and Government should build on this majority view, creating a representative planning system that unlocks support for new homes and the infrastructure communities need.' Deputy Prime Minister and Housing Secretary Angela Rayner has said that Labour are 'overhauling the broken planning system'. She said: 'With investment and reform, Labour is delivering the biggest boost to social and affordable housing in a generation, unleashing a social rent revolution, and embarking on a decade of renewal for social and affordable housing in this country.'
Reuters
an hour ago
- Reuters
German tax revenues grow at slower pace in July
BERLIN, Aug 21 (Reuters) - German federal and state tax revenues rose 3% year-on-year in July, a slower rate of increase than the previous month, due in part to a decline in earnings from sales tax, the finance ministry said on Thursday. The total tax take in Europe's biggest economy came to 65.74 billion euros ($76.60 billion) in July, with increases in taxes on income, wages and inheritance, said the ministry in its monthly report. In June, tax revenues had risen more than 7%. In the first seven months of the year, Germany collected some 513.3 billion euros in tax, up 7.4% from the same period in the previous year. Germany's economy contracted in 2024 for the second consecutive year and shrank slightly in the second quarter. Economists expect the export-driven economy to suffer further from U.S. tariffs and mostly predict stagnation for this year. The ministry played down any likely impulses that would boost tax revenues. "Leading indicators do not point to a short-term acceleration of economic activity," said the ministry. ($1 = 0.8582 euros)
Telegraph
3 hours ago
- Telegraph
Reeves eyes raid on tax-free pension lump sum
Rachel Reeves is to consider cutting the tax-free pension lump sum in a move that would be expected to raise more than £2bn a year. The Telegraph understands the idea is to feature on an extensive list of money-raising proposals that civil servants will present to the Chancellor ahead of the Budget, as she battles a hole in the public finances of up to £50bn. Industry insiders said there was widespread speculation she will cut the maximum amount people can withdraw from their pension without paying tax. At present, pensioners are allowed to withdraw as much as 25 per cent of their pot tax-free upon retirement, up to a cap of £268,000. Reducing this cap would allow the Treasury to raise billions of pounds a year. The Treasury did not deny that a change would be considered, though one Whitehall official cautioned that the Chancellor was not prioritising pension reforms and said they thought it 'unlikely'. Experts claimed that Ms Reeves may have no choice but to act given the scale of the challenge facing the public finances. The Chancellor is also thought to be considering a raid on the sale of high-value homes, as well as a further crackdown on inheritance tax, in a scramble to balance the books. John Havard, a consultant at tax firm Blick Rothenberg, said: 'Rachel Reeves has taken all her easy choices for increasing tax revenue off the table by sticking with her manifesto promises. But one option that remains open to her is targeting pension tax reliefs.' Torsten Bell, the pensions minister, has previously advocated cutting the tax-free lump sum limit from its current level to just £40,000. Mr Bell stoked speculation of a raid in an interview last month, when he suggested that there were no plans for pension savings to be 'taxed twice' – a form of words that experts said left the door open for a raid on lump sums because they are not currently taxed at all. Pension industry figures fear Ms Reeves could launch a raid on wealthier retirees as she struggles to find enough cash to meet her fiscal rules. Ahead of last year's Budget, Treasury officials asked a top pension provider to assess the impact of reducing the limit by almost two-thirds to £100,000. Ms Reeves opted against the move, which would hit public servants with gold-plated pensions, and hiked other taxes like national insurance instead. But experts said the Chancellor may now be forced to revisit it as weak economic growth and high borrowing have left her with a huge fiscal shortfall. She has ruled out breaking Labour's manifesto promise not to raise income tax, VAT or employee national insurance, leaving a crackdown on pension reliefs as one of the few areas open to her which could yield significant cash. Ms Reeves, who is under pressure from backbenchers to introduce wealth taxes, is also reportedly considering a cap on the amount of money that can be gifted to family members to avoid inheritance tax. Any such move would follow an inheritance crackdown on farmers that has already triggered widespread protests. Another proposal on the table is the introduction of a so-called mansion tax, charging capital gains on the sale of family homes worth over £1.5m. However, experts cautioned that these plans, which would land higher-rate taxpayers with a bill equal to 24 per cent of any gain made on the rise in value of their property, would risk backfiring and could raise little or even no money. Andrew Wishart, an economist at Berenberg Bank, said: 'It is going to incentivise people to not sell, to try and hold to the next election, to see if it changes. Therefore, it might not generate any additional revenues at all.' If she were to go ahead with a raid on the pensions, the Chancellor could also make a Left-wing argument for slashing the tax-free allowance. The Chancellor would likely cite figures showing even a significant cut to the maximum lump sum would only impact the richest quarter of pensioners. Mr Havard said: 'The Government's argument will likely be that, as a disproportionate percentage of relief goes to fund the retirements of the 'better off', it is not fair for 'ordinary working people' to be subsidising the retirement of the 'wealthy'. 'With fiscal pressures mounting and political promises limiting traditional tax levers, pensions represent one of the few big-ticket items the Chancellor can realistically target. But the trade-offs are delicate.' Gary Smith, a retirement specialist at Evelyn Partners, said the wealth management firm had seen a 'rush of enquiries' from people worried the limit will be cut. He said: 'We can expect a re-run of last summer's uncertainty, unless the Treasury rules out such moves. 'That it hasn't, again – despite calls from stakeholders in the financial services sector to do so – can only leave people to suspect that pensions are on the table for the Budget.' Last year both the Institute for Fiscal Studies (IFS) and the Labour-leaning Fabian Society think tanks proposed cutting the limit to £100,000. The IFS said that doing so would save around £2bn a year in the long run as wealthy pensioners were forced to pay tax on more of their savings. Mr Bell, who is now the pensions minister, backed an even more radical cut to the lump sum when he was head of the Resolution Foundation think tank. In an article in 2019 he said that the current tax free allowance was 'very generous, very regressive, and a strange incentive not to stagger your retirement income'. 'Capping the tax-free lump sum at £40,000 would raise £2bn a year while leaving three quarters of future pensioners unaffected,' he said at the time. Helen Whately, the shadow pensions secretary, said: 'After a year of punishing pensioners, it should come as no surprise Labour have them in the crosshairs once again. 'People who have worked hard, done the right thing and saved all their lives should not have the rug pulled out from them by this incompetent Chancellor. 'We know tax rises are inevitable in the autumn. If they care at all about our nation's savings they should not go ahead with this one.' Sir Steve Webb, a former pensions minister who is now a partner at pension firm LLP, said he thought ministers were unlikely to end up cutting the allowance. He said that the need for transitional measures for pensioners and people close to retirement meant that the move would not raise much money before the next election. A Treasury spokesman said: 'We are committed to helping our pensioners live their lives with dignity and respect, which is why in April the basic and new state pension increased by 4.1 per cent. 'Pensioners will receive a boost of up to £470 to their income in 2025-26. Our commitment to the triple lock means millions will see their pension rise by up to £1,900 this parliament.'
