Will anyone break the tax taboo?

The planned pace of cuts is unachievable. All parties need to talk about tax rises.

The new Resolution Foundation report on public spending (of which more on The Staggers later) is a reminder of the grim inheritance that awaits whichever party wins the 2015 election. Based on Osborne's current fiscal envelope, which Labour has said it will use as its "starting point",  the next government will have to increase the pace of cuts by 50% between 2016 and 2018 in order to meet the deficit target. Departmental spending will be reduced by an average of 3.8%, compared to 2.4% in 2010-15 and 2.7% in 2015-16. Should the ring-fences around health, international development and schools spending remain, some departments will have had their budgets more than halved by the end of the programme (which, based on recent form, is likely to be further extended to 2020), with a 64% cut to the Foreign Office, a 46% cut to the Home Office and a 36% cut to defence. 

Tasked with delivering a Tory majority in 2015, Osborne has pushed the bulk of austerity into the years after the election. But as both the Resolution Foundation and the IFS now argue, the forecast cuts are implausible. At some point, if they are to eliminate the structural deficit (one that exists regardless of the level of output), which stood at 4% last year, our politicians will need to talk about tax rises. Even to maintain the current level of cuts (as opposed to a more aggressive pace), the next Chancellor will have to raise taxes by £10bn.

But, as in the past, both Labour and the Tories appear determined not to broach this subject. Osborne perpetuates the myth that as much as 80% of the remaining consolidation can be achieved through cuts, while Labour talks only of possibly reinstating the 50p rate and introducing a mansion tax (partly in order to fund the reinstatement of a 10p rate), which wouldn't even raise half of the £10bn required. 

In practice, both parties will almost certainly raise taxes on all earners immediately after the election (as new governments so often do), but will they have the decency to warn us in advance? During the 2010 election, David Cameron repeatedly stated that the Tories had "absolutely no plans to raise VAT".

We have absolutely no plans to raise VAT. Our first Budget is all about recognising we need to get spending under control rather than putting up taxes.

That first Budget, of course, saw VAT increased from 17.5% to a record high of 20%, a move Osborne and Cameron had been planning all along (you don't raises taxes by £12.5bn on a whim). 

If this insult to democracy is not to be repeated, the parties must avoid colluding in the conspiracy of silence that so often affects tax. It should not be beyond our political class to engage the public in a reasonable debate about how best to raise new revenue. A land value tax; aligning income tax and capital gains; a higher top rate; a penny on income tax; all of these options should be discussed. But if recent history is any guide, don't count on our politicians doing so. 

David Cameron and Ed Miliband look on during the service to celebrate the 60th anniversary of the Coronation of Queen Elizabeth II at Westminster Abbey in London on June 4, 2013. Photograph: Getty Images.

George Eaton is political editor of the New Statesman.

Ukip's Nigel Farage and Paul Nuttall. Photo: Getty
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Is the general election 2017 the end of Ukip?

Ukip led the way to Brexit, but now the party is on less than 10 per cent in the polls. 

Ukip could be finished. Ukip has only ever had two MPs, but it held an outside influence on politics: without it, we’d probably never have had the EU referendum. But Brexit has turned Ukip into a single-issue party without an issue. Ukip’s sole remaining MP, Douglas Carswell, left the party in March 2017, and told Sky News’ Adam Boulton that there was “no point” to the party anymore. 

Not everyone in Ukip has given up, though: Nigel Farage told Peston on Sunday that Ukip “will survive”, and current leader Paul Nuttall will be contesting a seat this year. But Ukip is standing in fewer constituencies than last time thanks to a shortage of both money and people. Who benefits if Ukip is finished? It’s likely to be the Tories. 

Is Ukip finished? 

What are Ukip's poll ratings?

Ukip’s poll ratings peaked in June 2016 at 16 per cent. Since the leave campaign’s success, that has steadily declined so that Ukip is going into the 2017 general election on 4 per cent, according to the latest polls. If the polls can be trusted, that’s a serious collapse.

Can Ukip get anymore MPs?

In the 2015 general election Ukip contested nearly every seat and got 13 per cent of the vote, making it the third biggest party (although is only returned one MP). Now Ukip is reportedly struggling to find candidates and could stand in as few as 100 seats. Ukip leader Paul Nuttall will stand in Boston and Skegness, but both ex-leader Nigel Farage and donor Arron Banks have ruled themselves out of running this time.

How many members does Ukip have?

Ukip’s membership declined from 45,994 at the 2015 general election to 39,000 in 2016. That’s a worrying sign for any political party, which relies on grassroots memberships to put in the campaigning legwork.

What does Ukip's decline mean for Labour and the Conservatives? 

The rise of Ukip took votes from both the Conservatives and Labour, with a nationalist message that appealed to disaffected voters from both right and left. But the decline of Ukip only seems to be helping the Conservatives. Stephen Bush has written about how in Wales voting Ukip seems to have been a gateway drug for traditional Labour voters who are now backing the mainstream right; so the voters Ukip took from the Conservatives are reverting to the Conservatives, and the ones they took from Labour are transferring to the Conservatives too.

Ukip might be finished as an electoral force, but its influence on the rest of British politics will be felt for many years yet. 

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