In last week’s Sunday Herald there was an eye-raising story regarding Alex Salmond slapping down John Mason for suggesting that the SNP should hold a policy of raising the top rate of income tax above 50%. To me the story illuminated Salmond’s fears that the public may mistakenly view an independent Scotland as a place where wealth is choked off to fund welfare and the public sector. One of the First Minister’s objective is quite plainly, and quite understandably, to not scare too many horses before Scots troop out to vote in the independence referendum, whenever it may be.
So tax rises from the SNP are out for political purposes, tax rises from the Conservatives are out for ideological reasons and tax rises from Labour are out because they are powerless to implement them.
For many of us who are not too fussed about the referendum and keen to make sure Scotland’s, and the UK’s, Warren Buffett’s and Liliane Bettencourt’s pay their fair share of tax, who are we to look to?
Well, the Lib Dems seemingly and good news in today’s Sunday Times comes with the front page story that “Lib Dems want a land tax on rich”. This may be something of a policy grab from the Green party’s LVT but it shows that, within the Government, a focus on wealth distribution does exist in some quarters.
It is admittedly disappointing that Nick Clegg may have to give the Tories a cut in inheritance tax to get the deal through but the proposal appears to be that levies would be fixed at 0.5% of the capital value of the land, determined by the independent Valuation Office Agency. It seems to be a workable, deliverable policy that would be difficult to avoid. As Vince Cable says: “land tax is the one thing you can’t take off to Monaco”.
Anyway, a headline, progressive policy that differentiates the Lib Dems from the Tories would be welcome and is certainly long overdue.
Talk is cheap and the deficit is expensive but hopefully, somewhere between the two, a political party can rise through the political reticence to raise taxes and extract more from those with the deepest pockets. Right now, it seems it’s the Lib Dems who are best placed to deliver.