The boss of Kent’s highest-profile bank has attacked Labour plans for a mansion tax and said a change in government threatens “de-stabilising” the economy.

Andy Golding, chief executive of OneSavings Bank and Kent Reliance, based in Chatham, said the county’s housing shortage has been used as a “pawn in the political games” of the general election.

The mansion tax set out by Labour would raise £1.2 billion by placing higher taxes on those who own properties worth more than £2 million.

However Mr Golding said the proposals could lead to a reduction in property prices, with landlords raising rents to pass on their losses to tenants.

Mr Golding said: “As a business leader running a substantial Kent-based firm which specialises in lending on UK property, I am concerned that housing issues have been used somewhat as a pawn in the political games leading up to the election.

“The two key issues for voters to consider are mansion tax and the negativity by some parties towards the private rented sector and buy to let market.

“Whilst on the face of it these only impact either those with £2 million plus property of landlords, there are actually wider implications in my view of both a potential wholesale reduction in property values driven by the reverse knock on from higher value houses falling under mansion tax and an increase in rents passed on the tenants in an already under supplied market.

“These are matters that affect many people and should be viewed with caution.

“I am also concerned that a change of government at this stage would be de-stabilising for our economy.

“The current government inherited a pretty poor economic situation and have in my opinion done a solid job of rebuilding the UK as a strong and growing economy.

“We have low borrowing costs, low inflation, a strong employment market and a stable property market, surely now is not the time to de-rail that.”

Tris Osborne, the Labour candidate for Chatham and Aylesford, disputed Mr Golding’s position and said the mansion tax would actually benefit Kent Reliance.

He said: “We don’t think it will have a negative impact on the majority of the housing market in the county.

“Many people who own a property worth more than £2 million can afford to pay a bit extra for services like the NHS.

“Our policies include a cut on stamp duty for houses worth less than £300,000 which I suspect will benefit Mr Golding’s business as more people get access to houses.

“He’s not looking at the overall issue, which is we don’t have enough housing supply and the private rented sector is not working.”

Mr Golding’s comments come as One Savings Bank, which owns Kent Reliance, revealed its loans book grew by £455 million in the first quarter of this year.

This was accelerated by the acquisition of a £251m portfolio of UK-based second charge mortgages.

The bank said it had recorded a “strong financial and operational performance continued during the first quarter of the year”.