The Liberal Democrats announced that the plan would start with an immediate expansion of free school meals to all 900,000 children living in poverty who presently miss out, a move that might put pressure on Labour.
As state finances stabilize, all elementary school students would get free school meals in the second phase.
A 4% fee on the share buybacks of FTSE 100 listed companies would be used to finance the plan, which would be part of the Lib Dem manifesto.
This may bring in about £1.4 billion annually and is comparable to the excise tax on buybacks that President Biden imposed in the US.
A share buyback occurs when businesses purchase their own shares back from the market in order to raise the price of those shares—basically, to give their shareholders their surplus cash back.
The Liberal Democrats claimed that during a crisis in the cost of living, this technique has caused the profits of banks, big corporations, and oil and gas giants to skyrocket.
“Across the country, I hear heartbreaking stories of children going to school with empty packed lunch boxes as parents struggle to cover even the basic costs,” Liberal Democrat Leader Ed Davey stated.
“Conservative MPs should hang their heads in shame at a legacy of children going hungry in the worst cost of living crisis in a generation.”
