The Liberal Democrats have accused the government of imposing a hidden financial burden through a freeze on income tax thresholds, warning it could cost households billions in lost earnings. Leader Ed Davey frames the policy as a "stealth tax," suggesting it effectively raises taxes without explicit increases. Critics argue the measure erodes purchasing power by pushing more workers into higher tax brackets over time. The claim highlights growing tensions over fiscal policy ahead of potential economic adjustments.
Liberal Democrats leader Ed Davey says a freeze on income tax thresholds is a '£76bn stealth tax'.
