Reeves’s Tax Plans Falter as Election Pledges Meet Reality (2)

When Prime Minister Keir Starmer and Chancellor of the Exchequer Rachel Reeves plotted Labour’s path to power in the UK, they banked on eye-catching moves to hike taxes on private equity and ultra-rich “non-dom” residents to fund key spending plans. Now, those promises are meeting reality.

Reeves is reviewing how to implement both pledges because of internal Treasury analysis which says the moves could end up costing the exchequer money, rather than raising upwards of £5 billion ($6.6 billion) over the parliamentary term, according to a person familiar with her thinking, who requested anonymity discussing sensitive matters.

Having to re-evaluate ...