Liberal Democrats want £1million property tax

The Liberal Democrats have pledged to heavily tax wealthy homeowners in a bid to tempt traditional Labour voters.

Vince Cable, the party's Treasury spokesman, said he would introduce a new levy on houses worth more than £1 million while telling four million low-paid workers they would pay no income tax. He said “We have seen the super-rich pouring their money not into job creating businesses but into acquiring mansions,”.

Mr Cable set out plans at the Liberal Democrat conference in Bournemouth to raise more than £17 billion a year by targeting the wealthiest in society. The core of the strategy is a new tax on properties worth more than £1 million which the the liberals estimate will effect 250,000 powners in this category.