Lib Dem Leader Vows to Raise Tax Thresholds if He Becomes PM

Sir Ed Davey, the leader of the Liberal Democrats, used his keynote address at the party’s annual conference to outline a key part of his economic agenda. He pledged that, if the Liberal Democrats were to form a government, he would push to raise the income‑tax thresholds for both the basic and higher rates, thereby reducing the tax burden on middle‑income earners.

Davey said the move would be part of a broader strategy to make the tax system fairer and to support households that have been squeezed by rising living costs. He added that the proposal would be delivered through a combination of legislative changes and targeted fiscal measures, and that the party would work with coalition partners to secure the necessary backing in Parliament.

The speech came amid growing pressure on the Liberal Democrats to present a clear alternative to the current government’s fiscal policy. By committing to higher tax thresholds, Davey aimed to position his party as a champion of middle‑class families, while signalling a willingness to negotiate with other parties on the details of the policy if a coalition were to be formed.