Italy’s centre-right government on Wednesday seized on opposition tax-raising proposals as the trump card it needs to gain ground to win next month’s general election.

Prime minister Silvio Berlusconi’s ruling coalition, trailing in opinion polls, gleefully attacked a proposal from, Romano Prodi opposition leader, to increase some types of capital gains tax from 12.5 to about 20 per cent. The rises are aimed at funding cuts in labour costs and improving Italy’s competitiveness.