Ministers look at UK economic overhaul blueprint to tackle discontent on cost of living

Paper argues without major rethink including tax reforms and devolving powers, hard right could win election

Cabinet ministers have been studying a blueprint for Labour to radically overhaul its economic offer and messaging, including devolving tax powers, abolishing national insurance, and major property tax reforms.

Passed around dozens of MPs, the paper argues that without a major rethink, the failure to tackle the discontent on the cost of living will hand the next election to a hard-right government. There is also increasing concern that the war with Iran – pushing up prices of fuel, energy, food and mortgages – will fuel further mass public anger.