25 September 2016
Corbyn ‘would raise corporation tax to help abolish tuition fees’
Corporation tax could be hiked above its current 20% rate under Labour plans to help abolish tuition fees, Jeremy Corbyn says.
The levy is due to fall to 17% by 2020, however the Labour leader is promising to reverse planned cuts, indicating the rate could actually rise even further, although "not much higher".
He told BBC One's Andrew Marr Show that corporation tax rate is amongst the lowest in the OECD group of developed countries, saying: "I think we should go up to the 20% area it was at before."
The Labour leader says the tuition fees issue needs to be addressed because working class students are being put off.
Mr Corbyn, who was re-elected as Labour leader on Saturday, is defending his plans for a £500 billion programme of investment funded by increased borrowing.
Challenged about his plans, Mr Corbyn says the figure is a "calculation based on the rough needs" of the country.
He said: "It will be an investment that brings in greater tax income, to grow the economy and get greater tax income.
"We have had six years of austerity that has reduced wages, reduced living standards for many people, cut public services in many places and has not resulted in the economic growth that the Government predicted.
"We are saying: invest in order to grow."