Frequently asked questions

Why is the Tax Pledge important?

The Tax Pledge exists to bring clarity to the tax debate and to enable voters to judge which local candidate shares their views on the level of taxation. All the political parties have issued hundreds of documents on taxation. The Tax Pledge distills the tax debate into one simple question: "If elected, will you vote for or against increases in the tax burden?"

Candidates who want a higher tax burden, will not sign the Pledge. Candidates who believe the tax burden is either sufficient or too high will sign the Pledge.

We believe that candidates should be clear with their constituencies about how they will vote, if elected, on tax rises.

Which taxes does the Tax Pledge apply to?

The Tax Pledge applies to all forms of tax from income tax to inheritance tax, from corporation tax to capital gains tax. Candidates who sign the Pledge are promising to "vote against all increases in tax rates unless accompanied by an equal or greater reduction in the overall tax burden within the same proposals."

It is important to note that the Pledge also applies to national insurance contributions, which are a tax. Adding 1p/£ to national insurance contributions, as the Government did in the 2002 Budget, violates the Tax Pledge just as much as adding 1p/£ to income tax.

This does not mean that the Government cannot increase national insurance contributions or income tax, but to do so within the rules of the Tax Pledge it must cut another tax so that there is no net increase in the overall tax burden.

What about allowances and thresholds?

As well as covering tax rates, the Tax Pledge also applies to allowances and thresholds. For example, the personal allowance for income tax currently stands at £4,745. Last financial year it stood at £4,615. The Chancellor increased this allowance to take into account inflation - to ensure that taxpayers were not paying tax on a greater proportion of their income.

If a Chancellor in the next Parliament does not increase the personal allowance in line with inflation each year, he will have broken the Tax Pledge because tax rates will have increased.

The same argument applies to thresholds. In the 2004 Budget, the Chancellor increased the threshold for inheritance tax from £255,000 to £263,000, recognizing that increasing house prices had eroded the value of the threshold.

At the very least, Chancellors in the next Parliament should link the inheritance tax threshold to inflation, to avoid breaking the Tax Pledge.

Who will judge whether a set of proposals violates the Tax Pledge?

After each Budget, independent groups such as the Institute for Fiscal Studies provide definitive opinions on the implications of the proposals for government spending and taxation.

If a Chancellor in the next Parliament wanted to shift the burden of taxation from direct to indirect taxes by cutting income tax by 10p/£ and increasing VAT by 10%, groups such as the IFS would calculate what effect this would have on the overall tax burden.

If it reduced the tax burden or made no net change, MPs who had signed the Tax Pledge could vote for it with a clear conscience.

Taxpayers will therefore be able to judge politicians on the basis of such impartial opinions.

Are there any circumstances under which a responsible politician might need to break the Tax Pledge?

No candidate standing for election can honestly say that there are no circumstances under which government spending - and therefore tax rates - might have to increase. In the event of a national emergency, even taxpayer-friendly politicians might have to vote for temporary tax increases.

The Tax Pledge therefore includes a national emergency clause to allow signatures from candidates who believe that the current level of taxation is sufficient but who do not want to be bound by the Pledge in the event of an unforeseen national emergency.

How do you gather the information on this website?

We are contacting all the major candidates to ask them to sign the Tax Pledge. When we have received a signed Tax Pledge from a candidate, we will then change their entry on the website to indicate their support for the campaign.

We will make every effort to ensure the accuracy of this website. When we are alerted to any mistakes, we will correct them immediately. See the contact page to find out how to contact us.

Why is the Tax Pledge campaign not a ‘Recognised Third Party’ in the general election?

Certain political campaigns need to register with the Electoral Commission as Recognised Third Parties under the Political Parties, Elections and Referendums Act 2000. The Tax Pledge campaign has not done so, not least because we will be spending far less than £10,000 – the level at which registration is required.