Fund defence spending from tax rise on middle earners, thinktank tells Healey

Resolution Foundation argues that UK's internationally low tax wedge' must rise to pay for defence ambitions

The chancellor, John Healey, must be prepared to raise taxes for middle earners if he wants to fund significantly higher defence spending, the Resolution Foundation thinktank has said.

Healey resigned from Keir Starmer's government in June, protesting against what he argued was the then prime minister's failure to adequately fund defence.