50% tax rate – absolutely in line with other countries

Declan Gaffney’s article on Left Foot Forward clearly explains how the 50p tax rate is in fact entirely in keeping with the marginal rates of tax for high earners in comparable countries. He brilliantly explains why the 20 economists are wrong to claim in the FT earlier in the week:

that Britain’s 50p income tax is doing lasting damage to the UK economy. It gives the UK one of the highest personal tax regimes in the industrialised world, making it less competitive internationally and making us less attractive as a destination for both foreign investment and talented workers.” Continue reading

50% Tax rates: what the public think

Last weekend’s YouGov poll for the Sunday Times reveals what the public think of the 50 tax rate. And readers will be encouraged that roughly half the population — across the voters of all three main parties — think the top rate is about right (although younger people and Londoners are less likely to think so – with more favouring a lower top rate) . In answer to the question “do you think the current 50% rate of income tax for people earning over £150,000 is too high, too low, or is it about right,” 48% said “about right” with the rest of those who expressed an opinion split almost evenly between those who thought “too low” and “too low”. Continue reading

Keep kicking the “undeserving rich” – the message is getting through

According to the Spectator, politicians on all sides are increasingly concerned about the “undeserving rich”. It seems they are posing “a particular problem for David Cameron”, which makes it “imperative that Cameron takes on this group” or “public revulsion” will drive the country to the Left. The Tories have a pretty hazy idea exactly who the undeserving rich are, but they do know they’re not just Russian oligarchs and the families of Middle Eastern despots. Quite a lot of them are bankers. And so are quite a lot of Tory MPs.

We haven’t got much to lose with this line. It’s time to get seriously unrelaxed about the filthy rich. Continue reading