Labour leader Jeremy Corbyn was forced to admit his party’s spending plans would lead to tax increases for some lower earners during an interview with the BBC last night.

In a bruising encounter with veteran interviewer Andrew Neil, Corbyn rowed back on his initial claim that only those earning over £80,000 would see a tax increase under a Labour government.

Labour plans to scrap a tax allowance for married couples worth £250-a-year, saving £535m per year.

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“These people, there’s almost 2m of them, are going to lose £250 and they earn a lot less than 80,000,” Neil said.

“But they will also be getting a pay rise when we bring in a living wage. They will also be getting improvement in free nursery provision for two to four-year-olds,” Corbyn said.

Neil also cited higher dividend taxes, arguing that someone on a state pension, an annuity over £4,000 and dividend income of £2,000, would stand to pay nearly £400 more per year in tax under Labour’s plans.

“I would question that figure actually,” Corbyn said. “But what I would also say is that the whole purpose behind our manifesto, which I have here, is to recognise that we have to do something about the underfunding of our public services and the poverty and inequality that austerity has brought to this country.”

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Corbyn also appeared unaware that the top rate of income tax is 45 per cent, saying that top earners pay “a top rate of about 45-50 per cent”.

Corbyn was also unaware of what percentage of income tax revenue top rate taxpayers contribute.

“I couldn’t give you the exact figure, but they contribute quite a lot,” Corbyn said.

“We think they could and should pay…a little bit more,” he added.

