The Chancellor of the Exchequer has poured cold water on the prospect of any tax cuts in the near future – for landlords or indeed anyone else.

Hunt, in a major speech plotting a future path for the growth of the economy, made it clear that he wanted Britain to be defined as “low tax” but said actual tax cuts must wait until after inflation comes under control. 

He said the “best tax cut right now is a cut in inflation” and that any actual tax cuts would worsen inflation by giving people more money in their pockets to spend, which could push up demand for goods, and consequently push up the prices of them. He used a similar argument for not raising public sector wages.

The speech comes as a petition is calling for the reversal of tax changes which have hit landlords over morrtgage interest tax relief, and calls for other tax changes to encourage landlords to remain in the private rental sector.

Instead, Hunt called on people to fire up the UK’s economy through new technology, turning the country into a European Silicon Valley – but outside the EU.

Her said: “Our plan for this year remains to halve inflation, grow the economy and get debt falling. But all three are essential building blocks for much bigger ambitions for the years beyond.

“World-beating enterprises to make Britain the world’s next Silicon Valley. An education system where world-class skills sit alongside world-class degrees. Employment opportunities that tap into the potential of every single person so businesses can build the motivated teams they need. And opportunities spread everywhere just as our talent is spread everywhere.”

The Chancellor went on to call on businesses in the key growth sectors of Digital Technology, Green Industries, Life Sciences, Advanced Manufacturing and Creative Industries to increase their investment in the UK.

However, analysts have said the speech was short on detail and on specific targets.

Susannah Streeter, senior investment and markets analyst at business consultancy Hargreaves Lansdown, says: “The detail is sorely lacking, with the architects of this plan clearly unsure how it will be paid for. 

“On one hand he’s promising a low tax economy to incentivise companies to invest, but underlines this can only be done if spending is curtailed. Yet, other pillars – education and employment will require significant new funding to really move the dial on the issues holding back productivity. 

“Getting the 6.6m people who are economically inactive back to work will require fresh new ideas and re-training programmes and improving literacy and numeracy won’t be easy when mass teachers’ strikes are erupting over pay and conditions.

“Clearly improving confidence is key to spur domestic companies to invest more but being more optimistic is a hard sell when business activity in January has hit levels not seen since the UK went into lockdown. There are clearly gleaming nuggets of growth of potential in innovative industries, from renewables to AI and life sciences. 

“But competition for inward investment is heating up with subsidies being dangled by nations across the world. Jeremy Hunt’s vision is laudable but it’s far from clear where the funding will come from with government borrowing already hitting a record for the month of December.’’