Wealth tax 'would add to exodus of entrepreneurs'

A WEALTH tax would speed the exodus of entrepreneurs under Labour, City grandees have warned amid calls from within the party to explore the policy.

- By Matt Kenyon

Fears spiralled after former Labour leader Neil Kinnock said in a TV interview on Sunday that a 2% tax on assets above £10million would bring in up to £11billion a year.

And yesterday Transport Secretary Heidi Alexander refused to rule out such a move, insisting Government policy on matters such as taxes on non-doms and VAT on private school fees has been “guided by fairness”.