Labour manifesto: Six pledges that will make investors spit out their morning coffee

 
Helen Cahill
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Jeremy Corbyn Campaigns In South Yorkshire
The manifesto leaked last night (Source: Getty)

The Labour campaign has been hit by a heavy blow this morning as its leaked manifesto was plastered all over the morning papers, and the internet.

Read more: May and Corbyn told to show caution in minimum wage plans

But the content of the manifesto promises an even heavier blow to the City of London, should opposition leader Jeremy Corbyn ever form a government.

Here's a quick summary of the manifesto pledges that will prove particularly controversial with City investors:

Widespread nationalisation

The leaked document commits the Labour party to nationalising the Royal Mail, railways, energy companies and bus companies.

Royal Mail's share price has been unaffected by the news.

A tax on high earners

Corbyn's government will increase income taxes for people earning more than £80,000 a year.

And fines for your high-earning staff

Businesses that pay their staff too much (it is not yet known what too much is) will be fined by Corbyn.

Another tax on profits

Corbyn is promising a tax on profits, which would presumably be in addition to corporation tax.

Re-thinking government contracts

Any company that works for the government, or supplies services, will only be allowed to pay their highest earner 20 times more than their lowest earners.

Spiralling labour costs

Although most employers are happy to comply with the national living wage legislation, it has not been easy, especially for sectors such as retail, which operates on very thin margins.

The Labour party wants to raise the minimum wage to £10 per hour by 2020, a policy the IFS has warned comes with significant risks.

But, despite some hysterical headlines this morning, Corbyn's manifesto hasn't been moving markets.

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