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Terry Hipsey
Final straw: Terry Hipsey “cannot justify” David Cameron’s plans to abolish inheritance tax on homes up to £1million as a response to the recession

Tory council leader defects to Labour in Cameron protest

Paul Waugh, Deputy Political Editor
26 Mar 2009


A TORY council leader has dramatically defected to Labour in protest at David Cameron's inheritance tax cut plans for "millionaires".

Terry Hipsey, leader of Conservative-run Thurrock in Essex, said he could no longer justify his party's policies on tackling the recession. In a major coup for Labour, Mr Hipsey stunned colleagues when he crossed the floor at a council meeting last night. He claimed that local Tory councillors were "dysfunctional".

Mr Hipsey said the final straw had been Mr Cameron's decision this week to overrule Kenneth Clarke on plans to abolish inheritance tax on all homes worth up to £1 million.

"This last week has shown some of the worst examples of David Cameron's attempt to respond to the recession," he said in a statement.

"I cannot justify his decision to make his number one priority a tax cut, which would give hundreds of thousands of pounds to millionaires, but do nothing for the majority of Thurrock families."

His defection gives the two parties parity at the council with 23 seats each, with two independents and one BNP.

Reader views (14)

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Obviously the people who have made comments on this website are either filthy rich, or poor cap doffers to the very wealthy. I think it's absolutely disgusting that people living in massive homes should be made even richer by cutting out inheritance tax.
Cameron has shown that the Tories are the same old nasty party. And any way, what on earth does Cameron know about poverty - he's never had to struggle in his life.

- Judi Hewitt, Rhyl, UK, 02/06/2009 08:27
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What has inheritance tax got to do with the local council anyway? He was elected by local people as a Conservative cuoncillor, if he has had a personal change of mind that's fine. Resign!

- Mark, London, 02/06/2009 07:27
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I'm sure he'll be sorely missed...

- Nobby Clark, Perth, Scotland, 02/06/2009 07:27
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Any way one looks at this it is rather short-sighted. Inheritance tax applies to the individual's estate on death not just their bricks and mortar property! Surely there must be some properties, even in Essex, that are pushing the £1million valuation mark that are not owned by millionaires? Many "pre-property crash" studies identified regular middleclass homeowners as being "asset rich" (consisting mainly of their home) and "cash poor"!

It would appear that Terry Hipsey may have simply jumped from the frying pan into the fire! No doubt he is consciously in total agreement with the government on the events that led up to New Labour's (sorry typo - Britain's) invasion of Iraq that led to the premature deaths of many of our service people and the immense collateral damage in Iraq?

- Fraser, Telford Park, 02/06/2009 07:27
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When the Tories win the next election, Mr Hipsey will be sorry the day he joined Labour.

- Theresa, Cardiff, 02/06/2009 07:27
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If this councillor was a proper Tory he would believe in the total abolition of the iniquitous inheritance tax, never mind its being pegged at £1 million. Good riddance!

- Wpw, London, 02/06/2009 07:27
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Fraser,

The Conservative party totally supported the government's decision to invade Iraq so that issue is of no relevance to this man's decision to move from one party to another.

- Oswald, Tooting, London, 02/06/2009 07:27
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He has seen the light and the hypocrisy of both Cameron and Boris

- Keith Price, Luton, England, 02/06/2009 07:27
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If there is enough money to feather millionaires nests then there is enough money to make ALL prescrition charges FREE and also to allow doctors to prescribe drugs to anyone diagnosed with early onset dementia and other medical conditions.

Once the above is funded free long term care is next, the cost of which often means people have to sell their homes to pay for care and so they have no inheritance to tax!!

Goes to show the tories are still THE GREEDY PARTY of "to him that hath shall be given to them who have'nt shall be taken". Witness Boris who puts up fares while letting millionaires drive and pollute for free!!

The fact is Cameron may have just gifted the next election to Team GB!

- Melvyn Windebank, Canvey Island, Essex, 02/06/2009 07:27
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The Conservatives are showing their true colours and it is not a pretty sight.
They have always been the party of the wealthy, setting policies that make the rich even richer.
Credit to Terry Hipsey for exposing the hypocrisy within the Conservative party. I only hope the voters of Thurrock realise that they have a council leader with principles, unlike the party that he used to represent.

- Andrew, London W1, 02/06/2009 07:27
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Well, the defection of a Tory councillor is one thing, but the defection of a Tory Council Leader, the equivalent of a government minister in local government terms, is something else. Good on him.

- Val Daniels, Mijas Costa, Spain, 02/06/2009 07:27
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For his sake if nothing else, I hope he has done his adding up of voter support properly - or he's gonna be out of a job come the next election. Even if he's wrong though, he has to stand by his beliefs no less than any other politician worth his salt. Pity that he chose to support socialism in his stand though.

- Rogan, Irving, 02/06/2009 07:27
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Its not millionaires that will benefit but all those people who had average priced houses in the south east and yet who were being caught by this insidious tax...
Millionairse will continue to pay tax duties all though most have the ability to hide their cash up in trusts or like Lord Levy Blairs tennis partner or Browns mate Lord Myners avoid paying it at all..

- Malcolm Hill, welwyn garden city herts, 02/06/2009 07:27
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Considering the election is over a year away, a rather pointless move i would say.

- Michael Riley, London, 02/06/2009 07:27
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