The high rate of inflation continues to show why we must design a fairer tax system that addresses inequality, the Green Party says.
“Inflation impacts everyone – but not equally. We urgently need to redesign the tax system to provide strong public services and income support so everyone has enough to live on,” says Julie Anne Genter, the Green Party’s finance spokesperson.
“Inflation is reinforcing the imbalance in our economy.
“High inflation is forcing thousands of families to make sacrifices on basic essentials. Up and down the country it is getting harder and harder for families to put food on the table and pay the bills.
“At the same time, large corporations are boosting their profits and the wealthiest few continue to benefit from untaxed capital gains.
“Right now, the major political parties lack the ideas to rebalance the economy so it works for everyone.
“The Government has already ruled out a capital gains tax – and National is prioritising inflationary tax cuts for chief executives and landlords.
“National’s proposed tax cuts for the wealthiest is the exact opposite of what we need right now.
“People only need to look at the UK Conservative Party’s failed proposal to see that tax cuts for the wealthy are not ever “good for the economy”, they just make things worse for everyone else.
“When costs are rising for most families, throwing tax cuts into the mix could push inflation up even higher.
“But none of this is inevitable.
“We can make a choice to build a stronger, fairer and more resilient economy – and we can start by taxing wealth properly and using the additional revenue to support people living on the lowest incomes.
“Not only would this dampen inflation in the short-term, the additional revenue could lift every single family out of poverty,” says Julie Anne Genter.