Connect with us


Analysis shows Britain's tax reform plan disproportionately benefits high earners | political news

Analysis shows Britain's tax reform plan disproportionately benefits high earners |  political news
Analysis shows Britain's tax reform plan disproportionately benefits high earners |  political news


The UK Reform Party bills itself as a party “for the left”, but its flagship tax policy disproportionately benefits high-income earners, Sky News has analyzed.

Nigel Farage has welcomed plans to raise the threshold at which workers start paying tax from £12,571 to £20,000, saying it would result in millions of low-paid workers not paying tax entirely.

But the reform's plan to raise the higher tax threshold from £50,271 to £70,000 would amount to a tax cut worth almost £6,000 for the top 10% of earners, largely overshadowing the benefits for the lowest earners.

The top 10% of households by disposable income spend £3,000 a month after housing costs, council tax and direct tax. A couple in this category would spend £5,290.

These people will gain almost £5,983 in disposable income each year as a result of the change.

The bottom 10% of households have less than £693 to spend on things like heating and food each month. For a couple this figure rises to £1,195. This household will gain an extra £221 per year.

Use the Chrome browser for a more accessible video player

2:07 Will Nigel Farage join the Conservative Party?

Despite huge disagreements, Reform UK has repeatedly described this as a minimum wage policy.

Speaking at the party's manifesto in South Wales, Mr Farage said: “I think the most innovative policy we have put forward here is to raise the level at which people start paying tax to £20,000 a year.”

“Why? First of all, it would take all seven million people out of the tax system, which is an incredibly complex tax system. Of course, that would be a good thing for low-wage people.”

Spreaker This content is provided by Spreaker and may use cookies and other technologies. To display this content we need your permission to use cookies. You can use the button below to enable Spreaker cookies or modify your preferences to only allow these cookies once. You can change your settings at any time through your privacy options. Unfortunately, we cannot confirm whether you have consented to Spreaker cookies. To view this content, you can use the button below to accept Spreaker cookies for this session only. Enable cookies Allow one cookie

Click here to follow Election Dysfunction wherever you get your podcasts.

When challenged, Mr Farage argued that lower income earners would benefit more than higher earners if the tax break was considered part of total pay. But that's not the case.

Use the Chrome browser for a more accessible video player

2:07 Will Nigel Farage join the Conservative Party?

Read more: Do the figures in Britain's reform 'manifesto' add up? Farage said the West 'provoked' Russia's invasion of Ukraine. Farage dodges questions about the Tory switch, showing he is a man of note.

This change represents a 2.3% increase in disposable income for the bottom 10% and a 6.4% increase for the second highest income group.

The cost to the public finances will be around £59 billion. The top 10% of households will receive 28p per £1 spent, while the bottom 10% will receive just 2p.

Follow Sky News on WhatsApp

Follow Sky News to get all the latest news from around the UK and around the world.

Tap here

“These tax cuts are expensive and will disproportionately benefit those with the highest incomes,” said Dr Jamie O’Hallaran, a senior fellow at IPPR, a left-leaning think tank that conducted the study. said.

“This is deeply irresponsible at a time when public services and household finances are under so much pressure. Opinion polls show this is not what the public wants.

“Voters are calling for public services that work, not tax cuts for the top 10%.”




The mention sources can contact us to remove/changing this article

What Are The Main Benefits Of Comparing Car Insurance Quotes Online

LOS ANGELES, CA / ACCESSWIRE / June 24, 2020, / Compare-autoinsurance.Org has launched a new blog post that presents the main benefits of comparing multiple car insurance quotes. For more info and free online quotes, please visit https://compare-autoinsurance.Org/the-advantages-of-comparing-prices-with-car-insurance-quotes-online/ The modern society has numerous technological advantages. One important advantage is the speed at which information is sent and received. With the help of the internet, the shopping habits of many persons have drastically changed. The car insurance industry hasn't remained untouched by these changes. On the internet, drivers can compare insurance prices and find out which sellers have the best offers. View photos The advantages of comparing online car insurance quotes are the following: Online quotes can be obtained from anywhere and at any time. Unlike physical insurance agencies, websites don't have a specific schedule and they are available at any time. Drivers that have busy working schedules, can compare quotes from anywhere and at any time, even at midnight. Multiple choices. Almost all insurance providers, no matter if they are well-known brands or just local insurers, have an online presence. Online quotes will allow policyholders the chance to discover multiple insurance companies and check their prices. Drivers are no longer required to get quotes from just a few known insurance companies. Also, local and regional insurers can provide lower insurance rates for the same services. Accurate insurance estimates. Online quotes can only be accurate if the customers provide accurate and real info about their car models and driving history. Lying about past driving incidents can make the price estimates to be lower, but when dealing with an insurance company lying to them is useless. Usually, insurance companies will do research about a potential customer before granting him coverage. Online quotes can be sorted easily. Although drivers are recommended to not choose a policy just based on its price, drivers can easily sort quotes by insurance price. Using brokerage websites will allow drivers to get quotes from multiple insurers, thus making the comparison faster and easier. For additional info, money-saving tips, and free car insurance quotes, visit https://compare-autoinsurance.Org/ Compare-autoinsurance.Org is an online provider of life, home, health, and auto insurance quotes. This website is unique because it does not simply stick to one kind of insurance provider, but brings the clients the best deals from many different online insurance carriers. In this way, clients have access to offers from multiple carriers all in one place: this website. On this site, customers have access to quotes for insurance plans from various agencies, such as local or nationwide agencies, brand names insurance companies, etc. "Online quotes can easily help drivers obtain better car insurance deals. All they have to do is to complete an online form with accurate and real info, then compare prices", said Russell Rabichev, Marketing Director of Internet Marketing Company. CONTACT: Company Name: Internet Marketing CompanyPerson for contact Name: Gurgu CPhone Number: (818) 359-3898Email: [email protected]: https://compare-autoinsurance.Org/ SOURCE: Compare-autoinsurance.Org View source version on accesswire.Com:https://www.Accesswire.Com/595055/What-Are-The-Main-Benefits-Of-Comparing-Car-Insurance-Quotes-Online View photos


to request, modification Contact us at Here or [email protected]