Prime Minister accused of being ‘bullied’ by Treasury into supporting controversial policy
By Staff Reporter
Sir Keir Starmer is facing fresh questions about his authority within the Labour Party after Downing Street sources revealed the Prime Minister was pressured into backing a mansion tax despite private reservations.
According to a No 10 insider speaking to The Mail on Sunday, Sir Keir opposed the measure over concerns it would generate damaging headlines about elderly homeowners being forced from their properties, but was overruled by the Treasury.
Treasury minister Torsten Bell, who is reportedly playing a key role in drafting Chancellor Rachel Reeves’s Budget, argued that “some form of mansion tax has to happen,” sources said. The levy would apply to homes valued at £2 million or more.
The Prime Minister has allegedly been told the policy is necessary to appease the party’s left wing and serve as a “distraction tactic” to frame the November 26 Budget as targeting the wealthy rather than “working people.”
“Keir argued privately that a mansion tax would be unfair on little old ladies who lived in large houses which have increased in value over decades but who did not have the disposable income to pay a new charge,” a No 10 source said.
“He also said that it would raise relatively little money in return for all the political hassle. But Torsten was adamant that it has to happen in order to sell it to the backbenches, and Keir has basically been bullied into agreeing.”
The revelation has prompted accusations that Sir Keir has become a “Leader in Name Only,” raising questions about his control over government policy just months into his premiership.
The controversy comes as the government prepares for a Budget expected to include significant tax measures, with Labour seeking to balance fiscal demands against its pledge
