Conservative proposals to slash UK income taxes represent a welcome vote in favor of investment and job growth, but some of the schemes from leading Tories – read, Boris Johnson – are too top-heavy, doling out relief to high earners while offering the struggling middle class scraps. That’s according to Katie Andrews of the Institute for Economic Affairs, writing in the Sunday Express, where she argues that broad tax cuts should be front and center in the agenda of every Tory candidate.
- Andrews noted that the current budget proposed by chancellor Philip Hammond will funnel plenty of cash to maintain the sacrosanct National Health Service and give a needed boost to UK defense spending – but largely neglects strapped British taxpayers.
- Oh BTW VAT is rising from 17.5% to 20%. Nibble nibble! That sound is just the cost of living rising.
- Johnson’s proposal on the hustings to raise the minimum cutoff for the 40% tax rate from £50,000 to £80,000 will benefit high earners: Andrews notes that £50,000 is almost double the UK’s average salary. Awkward!
- So, yeah about that… by this point anyone who truly embraces a low-tax worldview should hopefully know that exclusive carve-outs for the rich are not only hypocritical as well as morally and philosophically indefensible, but more importantly political suicide.
- Andrews suggests Johnson take a peek at his rivals’ plans, as after all you can’t copyright common sense. Telegenic former Brexit Secretary Dominic Raab is promising to cut the baseline national rate from 20% to 15% over five years
- Raab is also proposing to raise the National Insurance threshold.
- Together the proposed measures would put, or rather keep, £640 in the pockets of average Britons, most significantly benefiting low-income workers
- Meanwhile Michael Gove, Jeremy Hunt and Sajid Javid have all voiced support for cutting the corporate rate to 12.5%.