Chancellor John Healey is set to meet with Labour's union donors to discuss tax and Brexit policies, just six weeks before a significant Budget announcement. The unions are expected to push for wealth taxes, raising the personal allowance, and loosening fiscal rules. There are fears that Healey may raise capital gains tax to address a £10 billion budget shortfall, a move that could face criticism from economists.
Written by the local model on 2026-09-17,
using this article's own text rather than the other coverage of the
same event (that is the story summary below).
Story summary
On Thursday, unions who donate to Labour will meet with Chancellor John Healey to press their demands ahead of next month's Budget. Unite, the UK’s second biggest union, is calling for a reversal of the freezing of tax thresholds and an increase in taxes on tech companies. Sharon Graham, Unite’s leader, criticized the cut to winter fuel allowance implemented under former Prime Minister Keir Starmer as "disgraceful." The unions also want wealth taxes, raising the personal allowance, loosening fiscal rules, and scrapping red lines on ties with the EU. This meeting is seen as crucial for defining Andy Burnham's direction as prime minister, with concerns over a potential £10 billion funding gap that may lead to hikes in capital gains tax.
Written for “Tax Hike Concerns Britain” on 2026-09-17,
grounded in this article and the 1 other(s) covering the same event.
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They are expected to lay out a 'wish list' including wealth taxes, raising the personal allowance, loosening fiscal rules and scrapping red lines on ties with the EU.
left Advocates for increased taxation and social spending.
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Unite boss Sharon Graham has demanded massive wealth taxes to fund public services. She told the BBC that Mr Healey should end the long-standing freeze on the personal allowance - which has raised huge sums for the Treasury.
left Calls for higher taxes and increased social spending.
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'We must see things happen immediately. I told him [Burnham] that you have to make working class people believe their best days are in front of them,' Ms Graham said.
left Supports progressive taxation and social welfare.
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'That tax threshold of around £12,500 - if that hadn't been frozen for the past few years it would have moved up to over £16,000 now. People at the lower end are paying eye-watering amounts of tax.'
left Critiques current tax policies as regressive.
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The country's biggest union, Unison, wants a tax raid on large tech companies - an idea that has enraged Donald Trump.
left Supports progressive taxation measures.
Leaning score -0.50 for article 15379 (high confidence, 5 verified quotes) · logged 2026-09-17
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John Healey is meeting Labour's union paymasters today to hear their demands on tax and Brexit.
The Chancellor will host the party donors with just six weeks to go until a potentially pivotal Budget.
They are expected to lay out a 'wish list' including wealth taxes, raising the personal allowance, loosening fiscal rules and scrapping red lines on ties with the EU.
asserted
They → see → EU
Storm clouds are gathering ahead of Mr Healey's fiscal package, with the Middle East crisis sending the Government's debt interest costs spiralling.
asserted
costs → gather → package
The Treasury must also find ways of funding Andy Burnham's multi-billion pound spending commitments.
asserted
Treasury → find → commitments
There is speculation that Mr Healey is looking towards a raid on capital gains tax in a bid to fill a black hole estimated at £10billion - something that critics have warned could backfire.
uncertain
critics → be → 10billion
Chancellor John Healey will host the party donors with just six weeks to go until a potentially pivotal Budget
Unite boss Sharon Graham has demanded massive wealth taxes to fund public services
The PM hit back at claims he is a 'tax and spend socialist' yesterday, insisting: 'That does not tell the story.
uncertain
That → host → story
He said he had proved his willingness to take 'difficult decisions' by scrapping plans for digital ID cards to free up cash to cut VAT on energy bills.
asserted
he → say → bills
But Mr Burnham also admitted the Budget will be 'challenging'.
asserted
Budget → admit → ?
Shadow chancellor Andrew Griffith has called for a moratorium on further tax rises, warning they are 'crushing' the economy.
asserted
they → call → economy
Rachel Reeves became the biggest tax-raiser in history during two years in No11.
asserted
Reeves → become → No11
Unite boss Sharon Graham has demanded massive wealth taxes to fund public services.
asserted
Graham → demand → services
She told the BBC that Mr Healey should end the long-standing freeze on the personal allowance - which has raised huge sums for the Treasury.
asserted
which → tell → Treasury
'We must see things happen immediately.
asserted
things → see → ?
I told him [Burnham] that you have to make working class people believe their best days are in front of them,' Ms Graham said.
asserted
Graham → tell → them
'That tax threshold of around £12,500 - if that hadn't been frozen for the past few years it would have moved up to over £16,000 now.
asserted
it → freeze → 16,000
People at the lower end are paying eye-watering amounts of tax.
asserted
People → pay → tax
The country's biggest union, Unison, wants a tax raid on large tech companies - an idea that has enraged Donald Trump.
asserted
that → want → Trump
It is also urging Mr Healey to commission research into shifting tax from income to wealth, something Mr Burnham has previously supported.
asserted
Burnham → urge → wealth
The GMB has reiterated calls for the Government to approve new Rosebank and Jackdaw fields in the North Sea.
asserted
Government → reiterate → Sea
Mr Healey hailed the appointment of TUC general secretary Paul Nowak to a key role on the Bank of England yesterday.
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Healey → hail → England
Mr Nowak will be a non-executive director on the Bank's court, responsible for overseeing governance and corporate strategy.
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Nowak → oversee → governance
Union officials traditionally hold one of the NED posts at Threadneedle Street.
asserted
officials → hold → Street
Mr Nowak has pledged to give his £20,000 a year fee to charity.
asserted
Nowak → pledge → charity
Unison chief Andrea Egan is seen as an ally of Andy Burnham
Mr Healey hailed the appointment of TUC general secretary Paul Nowak to a key role on the Bank of England yesterday
Two former BoE chiefs have warned that the Government has failed to convince financial markets that it has a grip on the public finances.
asserted
it → see → finances
The Bank's former deputy governor Sir Charlie Bean said markets were jittery because 'there is a question mark about whether this govt is willing to take the difficult decisions needed to maintain fiscal sustainability'.
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govt → say → sustainability
In a withering assessment Andy Haldane, former chief economist at the Bank, said the markets 'now suspect that this is a traditional tax and spend socialist government with better TikTok videos.'
asserted
this → say → videos
Mr Haldane, a sometime adviser to Mr Burnham on the economy, added: 'The fiscal Achilles' heel of this government, thus far, has been its unwillingness and/or inability to cut public spending.
asserted
heel → add → spending
Within financial markets, we've gone from the cautious optimism of the summer months to the studied scepticism of September.'
asserted
we → go → September
The Aporia
