Conservative Tax Plans: No Help to Worst Off in Society

George Osborne's conference speech had a little bit for everyone.

Despite claims that their sums do not add up, his plans to raise the threshold for inheritance tax from 300,000 to 1 million will woo back many big 'C' Conservatives disillusioned by Cameron's drift to the centre. It will also guarantee some good headlines in the 'World's Greatest Newspaper', who have had the campaign to abolish the tax as their cause célèbre for many a moon.

Osborne also announced the proposed abolition of the 1% stamp duty rate, which will raise the threshold from 120,000 to 250,000. A move which will see nine out of 10 first time buyers better off to the tune of 2,000 on average.

Many non-aligned left and liberal commentators have been rejoicing that the Tories are finally coming around to their way of thinking. In yesterday's Guardian Michael White positively cooed at Andrew Lansley's claims that the Tories are now the party of the NHS.

It was left to Polly Toynbee to point out that taxing non-domicile fat cats to fund inheritance tax relief is merely taking from the obscenely rich to give to the comfortably wealthy.

None of these policy proposals will help those most in need in society. Cameron may wish to steal some ground on Labour by offering help to first-time buyers but his proposed reforms do not go far enough. Although the abolition of stamp duty will help ease some financial pressures, much more is still needed.

Many of those looking to get onto the property ladder will still be excluded by rising property prices, including essential workers on relatively modest salaries such as teachers, nurses and emergency service personnel.

Labour must counter this move, which may be seen by many as a much needed helping hand, by pledging further to build more new and affordable homes and committing to a new build of social housing. It is a move Cameron would no doubt like to make, but has his hands tied by Tory councils and their NIMBY councillors.

Only by building new homes can those essential workers find places to live and get onto the housing ladder without taking on the risks of high-level debt. It is public sector workers such as these whom a Labour government should be helping, especially as a potential housing crisis looms on the horizon.