Smith vows to end austerity and tax the rich

Leadership challenger has called for a ‘socialist revolution’ in Britain

Labour leadership contender Owen Smith vowed to end austerity as part of a “socialist revolution”, with a new wealth tax on the rich and increased spending on the NHS.

Mr Smith announced plans to appoint a cabinet-level minister to deliver fair employment, end the public sector pay freeze and outlaw zero-hours contracts.

The Pontypridd MP also pledged a return to the 50p top rate of income tax and vowed to reverse cuts to inheritance and capital gains taxes.

In an attack on Mrs May, Mr Smith said she had the “temerity” to lecture the opposition on social justice and insecurity at work.

“It pained me that we didn’t have the strength and the power and the vitality to smash her back on her heels,” he said.

Mr Smith brushed off suggestions his comment about Mrs May was at odds with his professed commitment to equality.

He said: “We should be smashing the Tories back on their heels. Their ideals, their values, let’s smash them, let’s get Labour in.

“It’s rhetoric, I don’t literally want to smash Theresa May back on her heels, I’m not advocating violence in any shape or form.”

But pressed on his choice of language he told 5 News: “Perhaps it backfired, but we should have a bit of robust language in politics, I think.”

Speaking at the site of the former Orgreave coking plant in South Yorkshire, Mr Smith said he understood the anger of voters that had contributed to the victory for the Brexit camp in the EU referendum.

He said the UK had become a “country where people feel the system is rigged against them” as a result of austerity measures and inequality.

“People in Britain are right to be furious about the inequality that exists,” he said. “They are right to be angry that eight years after the financial crash they are still being asked to pay the price for it.”

People “want a Labour government that is angry with them”

In an apparent swipe at Mr Corbyn, he said: “We need a revolution. Not some misty-eyed, romantic notion of a revolution where we are going to overthrow capitalism and return to a socialist nirvana – I don’t know who I’m referring to – but a cold-eyed, practical socialist revolution where we build a better Britain, where we look the country in the eye and say ‘this is possible, it can be better, we can build a better, brighter future’.

“We have done it before, we can do it again. That’s the sort of government I want to lead, that’s the sort of revolution I want to bring.”

Picture: PA. Owen Smith said he understands voters’ anger.