The Daily Telegraph

Reeves’ aide said ‘codgers’ should pay more in taxes

- By Nick Gutteridge CHIEF POLITICAL CORRESPOND­ENT

RACHEL REEVES has been attacked for appointing an adviser who suggested “codger” pensioners should face higher taxes and be stripped of free TV licences.

The shadow chancellor last week unveiled Sir Edward Troup, a former head of HMRC, as part of a panel of experts advising her on tackling tax avoidance. But she has faced a backlash over the move after historic comments emerged in which he called for sweeping tax rises, especially targeted at the elderly.

Sir Edward, who was also previously a special adviser to then Tory chancellor Ken Clarke, made the comments at a think tank event in November 2019. Speaking at a round table hosted by the Resolution Foundation he described pensioners as an “under-taxed generation” who “have had it ridiculous­ly good”. He suggested perks for the over-65s, such as free TV licences, should instead go to younger working families who need financial help more.

Talking about the need to raise more money, Sir Edward told the event: “Where should we be looking? You should look to my generation. I’m a baby boomer, I was born in 1955, and we have had it ridiculous­ly good ... we’re not paying national insurance if we’re still working after the age of 60, and it’s a complete disgrace. I am part of an under-taxed generation so I’m afraid we are going to have to look at the more senior members of society.”

Sir Edward then cited “great analysis” by the Financial Times which he said highlighte­d “the ridiculous nature of giving free television licences to the over-75s who are much better off than young families with children”. He added: “They’re the ones who deserve the free television licences, anyway, so we should be looking at the codgers.”

Labour’s new adviser also argued that taxes will need to be hiked on working families and businesses including rises in income tax, national insurance, VAT and corporatio­n tax.

Since he made the remarks income tax thresholds have been repeatedly frozen, dragging millions of Britons into paying higher rates. Corporatio­n Tax has also been hiked from 19pc to 25pc, whilst national insurance has recently been cut by 4p and VAT has remained unchanged.

Rishi Sunak led criticism of the comments yesterday, arguing during PMQS that the appointmen­t showed Labour is planning to hit the elderly in the pocket. Clashing with Sir Keir Starmer, he said: “If he wants to talk about tax, let’s have a look at what Labour’s newly appointed tax adviser has to say.”

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