Osborne has a mini-mansion tax already up his sleeve

Coalition negotiations over the Autumn Statement are fraught but there is one wheeze that could help the Chancellor.

After November’s rash of mini-elections, the next big item on the political calendar is the Chancellor’s Autumn Statement on the economy – on 5 December. (Yes, it is autumn. Winter formally begins with the solstice, but that’s a debate for a different blog.)

The weak performance of the economy means new devices are required if George Obsorne is to show sufficient progress towards his key fiscal targets. That obligation has forced the coalition into another tricky round of tax and cut negotiations. Broadly speaking, the Chancellor wants the lion’s share of the savings to come from the welfare budget. The Lib Dems accept that the benefits bill is too big to be spared but they insist on some form of wealth tax to spread the burden of pain. Their preferred device is the “mansion tax” – a levy on posh real estate.

There are a number of obstacles to this. For one thing, the Chancellor appeared to rule it out before his party’s annual conference. But I’m told by a number of sources that the Prime Minister is the bigger obstacle to wealth taxes of any kind. Perhaps the Chancellor was stung by his misreading of the politics around the 50p income tax rate into recognising the public appetite for conspicuous contributions from those at the very top. David Cameron, by contrast, is said to be stubbornly hostile – something which is causing the Lib Dems considerable frustration.

Usually, people around Nick Clegg are careful not to criticise the Prime Minister too much, saving their darkest whispers for moans about Tory backbenchers who are perceived to be sabotaging the coalition project. The tone now seems to be changing as top Lib Dems mutter about Cameron’s “Shire Tory” instincts and impulse to protect “his rich friends”. In the last couple of weeks I have heard language from people very close to Clegg that echoes the Labour charge that Cameron is out of touch, doesn’t understand how much ordinary people are suffering and is the product of a rarefied, gilded world where his priorities have been warped. As coalition mood music, this is new.

Cameron is also steadfastly refusing to consider any cut in pensioner benefits, having made a “read my lips”-style pledge to protect them in the election campaign. As one government strategist puts it, the PM is terrified of a “split-screen moment” in 2015, with the sequence where he flatly denied he would raid pensioner entitlements in 2010 run alongside some mealy-mouthed U-turn. He will do anything to avoid that hazard.

That doesn’t leave much room for manoeuvre. A freeze in the overall level at which benefits are paid (experienced as a cut when inflation is rising) is likely to do a fair amount of the fiscal work. Another idea floating around is to limit the number of children for whom families can claim child benefit. Iain Duncan Smith has floated a cap of two. The Lib Dems seem divided on this. Some hate the whole idea, thinking it redolent of Victorian-era horror at the idea of poor people breeding. Others think it might be necessary but resist the IDS level. One figure close to Clegg describes a two children-per-family benefit rule as “a bit Chinese” – a reference to Beijing’s one-child-per-family rule.

There’s much more of this kind of argument (and briefing) to come in the weeks ahead. I’m told by someone intimately involved in the negotiations that they will “go to the wire”. So I’ll save some more observations for another blog.

One final thought. Someone in Westminster who spends a lot of time looking at fiscal policy, among other things, yesterday drew my attention to a little-advertised consultation the Treasury carried out over the summer.

It stems from a line in the 2012 Budget, in which the Chancellor promised to raise some money by taxing property transactions carried out by “non natural persons”. That means, roughly speaking, companies, investment schemes and “non dom” individuals who are resident abroad for tax purposes. The relevant section of the Budget speech is as follows:

A major source of abuse – and one that rouses the anger of many of our citizens – is the way some people avoid the stamp duty that the rest of the population pays, including by using companies to buy expensive residential property. I have given plenty of public warnings that this abuse should stop.

Now I'm taking action. I am increasing the Stamp Duty Land Tax charge applied to residential properties over £2 million bought into a corporate envelope.

The charge will be 15%. And it will take effect today.

We will also consult on the introduction of a large annual charge on those £2 million residential properties which are already contained in corporate envelopes. And to ensure that wealthy non-residents are also caught by these changes, we will be introducing capital gains tax on residential property held in overseas envelopes.

Then go to section 2.12 of the consultation document and you get some more detail on the “annual charge” on properties worth more than £2m owned by “non natural persons”, due to be introduced next year. The idea is to make it less attractive for the owners of high value residencies to hold them in corporate vehicles. That in turn should make it easier to charge the new 15 per cent stamp duty rate and capital gains tax on any transactions involving those properties.

I can’t begin to speculate about how much money the Treasury would realistically expect to make from this device. I would, however, hazard a guess that it can be spun quite heavily as a tax clampdown on rich foreign tax dodgers and a kind of mansion tax. That would, of course, mean essentially re-announcing something that has already been signaled, but this government is as good at serially re-announcing things as the last one was. Better even.

To form part of a credible “wealth taxes” story it will have to be packaged up with something much more substantial, but it has Osborne wheeze written all over it. The consultation has been done, it hits “foreign millionaires” and “mansions” and it’s been flagged up already so can be squared with the PM. From the Chancellor’s point of view, as headline-nabbing political tactic, what’s not to like?

Chancellor George Osborne speaks at the Conservative conference in Manchester last month. Photograph: Getty Images.

Rafael Behr is political columnist at the Guardian and former political editor of the New Statesman

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Labour is a pioneer in fighting sexism. That doesn't mean there's no sexism in Labour

While we campaign against misogyny, we must not fall into the trap of thinking Labour is above it; doing so lets women members down and puts the party in danger of not taking them seriously when they report incidents. 

I’m in the Labour party to fight for equality. I cheered when Labour announced that one of its three Budget tests was ensuring the burden of cuts didn’t fall on women. I celebrated the party’s record of winning rights for women on International Women’s Day. And I marched with Labour women to end male violence against women and girls.

I’m proud of the work we’re doing for women across the country. But, as the Labour party fights for me to feel safer in society, I still feel unsafe in the Labour party.

These problems are not unique to the Labour party; misogyny is everywhere in politics. You just have to look on Twitter to see women MPs – and any woman who speaks out – receiving rape and death threats. Women at political events are subject to threatening behaviour and sexual harassment. Sexism and violence against women at its heart is about power and control. And, as we all know, nowhere is power more highly-prized and sought-after than in politics.

While we campaign against misogyny, we must not fall into the trap of thinking Labour is above it; doing so lets women members down and puts the party in danger of not taking them seriously when they report incidents. 

The House of Commons’ women and equalities committee recently stated that political parties should have robust procedures in place to prevent intimidation, bullying or sexual harassment. The committee looked at this thanks to the work of Gavin Shuker, who has helped in taking up this issue since we first started highlighting it. Labour should follow this advice, put its values into action and change its structures and culture if we are to make our party safe for women.

We need thorough and enforced codes of conduct: online, offline and at all levels of the party, from branches to the parliamentary Labour party. These should be made clear to everyone upon joining, include reminders at the start of meetings and be up in every campaign office in the country.

Too many members – particularly new and young members – say they don’t know how to report incidents or what will happen if they do. This information should be given to all members, made easily available on the website and circulated to all local parties.

Too many people – including MPs and local party leaders – still say they wouldn’t know what to do if a local member told them they had been sexually harassed. All staff members and people in positions of responsibility should be given training, so they can support members and feel comfortable responding to issues.

Having a third party organisation or individual to deal with complaints of this nature would be a huge help too. Their contact details should be easy to find on the website. This organisation should, crucially, be independent of influence from elsewhere in the party. This would allow them to perform their role without political pressures or bias. We need a system that gives members confidence that they will be treated fairly, not one where members are worried about reporting incidents because the man in question holds power, has certain political allies or is a friend or colleague of the person you are supposed to complain to.

Giving this third party the resources and access they need to identify issues within our party and recommend further changes to the NEC would help to begin a continuous process of improving both our structures and culture.

Labour should champion a more open culture, where people feel able to report incidents and don't have to worry about ruining their career or facing political repercussions if they do so. Problems should not be brushed under the carpet. It takes bravery to admit your faults. But, until these problems are faced head-on, they will not go away.

Being the party of equality does not mean Labour is immune to misogyny and sexual harassment, but it does mean it should lead the way on tackling it.

Now is the time for Labour to practice what it preaches and prove it is serious about women’s equality.

Bex Bailey was on Labour’s national executive committee from 2014 to 2016.