Voters want Cameron to come clean on the 50p tax cut

Sixty two per cent of voters want the PM to say whether he will benefit from the abolition of the 50p tax rate, private polling by Labour shows.

On the eve of the Labour conference, the Conservatives sought to unsettle Ed Miliband by releasing private polling showing that most voters believed David Miliband would have made a better leader and that Miliband lacked the qualities required of a prime minister. Now, as the Tories head to Birmingham for their annual gathering, Labour has released its own mischevious poll.

After Miliband alleged in his conference speech that David Cameron would receive the "millionaire’s tax cut", a private poll for the party by ICM (sample size: 2,009) has shown that a majority of voters want Cameron to say whether he will benefit from the abolition of the 50p rate. Asked whether the Prime Minister should "come clean and tell people honestly whether he is personally benefitting from this" or whether it was "a matter only for him", 62% said the former and 22% the latter. Among Conservative voters, 46% wanted Cameron to "come clean", while 40% agreed it was a private matter.

Aware of how much damage the Tories inflicted on Ken Livingstone over his tax arrangements (and with an eye to how the Obama campaign forced Mitt Romney onto the defensive over his tax bill), Labour is out for revenge. Miliband used the final PMQs before the conference season to challenge Cameron on whether he would benefit from the 50p tax cut, describing it as "a question he would have to answer between now and April" (when the tax cut is formally introduced). Cameron has so far refused to give an answer (unlike George Osborne, who said he would not benefit from the move) and, under ever-greater pressure from Labour, the Tories will need to decide whether this strategy is sustainable.

The poll also reminds us just how unpopular the decision to abolish the top rate is. The survey, conducted on Wednesday and Thursday this week, found that 71% of voters think the coalition should abandon the tax cut. Asked whether, "with government borrowing coming in higher than expected", the government should "cancel plans to cut tax for people on £150,000 a year", 45% strongly agreed it should, while 25% somewhat agreed. Seven per cent strongly disagreed that it should and 10% somewhat disagreed. By 65% to 26%, Conservative voters also opposed the tax cut going ahead. 

Were this not a private poll, it's unlikely that the question would have appeared in that form ("with government borrowing coming in higher than expected" is designed to lead voters to the desired answer) but it's worth remembering that previous polls have shown widespread opposition to the abolition of the 50p rate. An ICM survey for the Guardian in March found that 67% of voters wanted to keep the top rate. More than any other single measure, it was the abolition of the 50p rate, juxtaposed with tax rises on pensioners, pasties, caravans, churches and charities, that retoxified the Tory brand.

Sixty two per cent of voters said Cameron should "tell people honestly whether he is personally benefitting from this". Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

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Why Angela Merkel's comments about the UK and US shouldn't be given too much weight

The Chancellor's comments are aimed at a domestic and European audience, and she won't be abandoning Anglo-German relationships just yet.

Angela Merkel’s latest remarks do not seem well-judged but should not be given undue significance. Speaking as part of a rally in Munich for her sister party, the CSU, the German Chancellor claimed “we Europeans must really take our own fate into our hands”.

The comments should be read in the context of September's German elections and Merkel’s determination to restrain the fortune of her main political rival, Martin Schulz – obviously a strong Europhile and a committed Trump critic. Sigmar Gabriel - previously seen as a candidate to lead the left-wing SPD - has for some time been pressing for Germany and Europe to have “enough self-confidence” to stand up to Trump. He called for a “self-confident position, not just on behalf of us Germans but all Europeans”. Merkel is in part responding to this pressure.

Her words were well received by her audience. The beer hall crowd erupted into sustained applause. But taking an implicit pop at Donald Trump is hardly likely to be a divisive tactic at such a gathering. Criticising the UK post-Brexit and the US under Trump is the sort of virtue signalling guaranteed to ensure a good clap.

It’s not clear that the comments represent that much of a new departure, as she herself has since claimed. She said something similar earlier this year. In January, after the publication of Donald Trump’s interview with The Times and Bild, she said that “we Europeans have our fate in our own hands”.

At one level what Merkel said is something of a truism: in two year’s time Britain will no longer be directly deciding the fate of the EU. In future no British Prime Minister will attend the European Council, and British MEPs will leave the Parliament at the next round of European elections in 2019. Yet Merkel’s words “we Europeans”, conflate Europe and the EU, something she has previously rejected. Back in July last year, at a joint press conference with Theresa May, she said: “the UK after all remains part of Europe, if not of the Union”.

At the same press conference, Merkel also confirmed that the EU and the UK would need to continue to work together. At that time she even used the first person plural to include Britain, saying “we have certain missions also to fulfil with the rest of the world” – there the ‘we’ meant Britain and the EU, now the 'we' excludes Britain.

Her comments surely also mark a frustration born of difficulties at the G7 summit over climate change, but Britain and Germany agreed at the meeting in Sicily on the Paris Accord. More broadly, the next few months will be crucial for determining the future relationship between Britain and the EU. There will be many difficult negotiations ahead.

Merkel is widely expected to remain the German Chancellor after this autumn’s election. As the single most powerful individual in the EU27, she is the most crucial person in determining future relations between the UK and the EU. Indeed, to some extent, it was her intransigence during Cameron’s ‘renegotiation’ which precipitated Brexit itself. She also needs to watch with care growing irritation across the EU at the (perceived) extent of German influence and control over the institutions and direction of the European project. Recent reports in the Frankfurter Allgemeine Zeitung which suggested a Merkel plan for Jens Weidmann of the Bundesbank to succeed Mario Draghi at the ECB have not gone down well across southern Europe. For those critics, the hands controlling the fate of Europe are Merkel’s.

Brexit remains a crucial challenge for the EU. How the issue is handled will shape the future of the Union. Many across Europe’s capitals are worried that Brussels risks driving Britain further away than Brexit will require; they are worried lest the Channel becomes metaphorically wider and Britain turns its back on the continent. On the UK side, Theresa May has accepted the EU, and particularly Merkel’s, insistence, that there can be no cherry picking, and therefore she has committed to leaving the single market as well as the EU. May has offered a “deep and special” partnership and a comprehensive free trading arrangement. Merkel should welcome Britain’s clarity. She must work with new French President Emmanuel Macron and others to lead the EU towards a new relationship with Britain – a close partnership which protects free trade, security and the other forms of cooperation which benefit all Europeans.

Henry Newman is the director of Open Europe. He tweets @henrynewman.

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