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The top 10% of taxpayers contribute 60% of income tax...

796 replies

MsPinkMarshmallow · 03/11/2025 11:43

I'm fed up of hearing that "high earners" will be targeted by the next budget.

The top 10% of taxpayers pay 60% of income tax.

Don't piss them off. They'll just leave the UK or work less so they're taxed less.

Some more stats: in 2024-25, the top 1% of income tax payers earned 13.3 per cent of total income and paid 28.2 per cent of income tax

35% of adults in the UK pay no tax at all

More from the Taxpayers Alliance here:

https://www.taxpayersalliance.com/briefing_share_of_income_tax_paid_by_percentile

<stands back and awaits kicking>

OP posts:
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6
Fearfulsaints · 04/11/2025 10:02

MariaMyBeck · 04/11/2025 09:57

Why would you "get too sick to work" barring like a car crash?

Have you considered having a healthy active lifestyle and eating well?

Do you honestly believe that things like cancer, menegitis, autoimmunie disorders covid, flu, brain tumours, epilepsy, etc only happen to people who werent healthy and active?

There are lifestyle factors in some diseases in terms of risk, but im old enough to have seen plenty of healthy active people struck down by by all sorts.

cottonwoolie · 04/11/2025 10:03

The main issue is our ageing population & the fact that the majority of pensioners take out more than they paid in. We need to acknowledge that.

GehenSieweiter · 04/11/2025 10:04

MariaMyBeck · 04/11/2025 09:30

A) we have more income that is necessary for basic expenses because we've worked for it.

B) it's not our fault that there are poor. There are 24 hours in a day. 7 days a week they can get to work. (Assuming not disabled or having to care)

Us (the richest 10%) want to actually enjoy the fruits of our labour and not be demonised for being successful. We got there through hard work. My DH is the one earning £100k +, why should he be penalised for that? Your tax policy is really stupid.

So it's selfish to want to keep your own wealth, but not selfish to want to steal someone else's?

A) People on much lower incomes also work for their money. The financial reward for jobs/roles is in no way related to the importance of it.
B) Nobody said it was your fault that people are poor(er) but a functional society supports the vulnerable.
Contributing to society isn't you being demonised.

Interested in this thread?

Then you might like threads about this subject:

Angel191 · 04/11/2025 10:04

Lougle · 04/11/2025 09:45

"Why would anyone work for 40 pence out of every pound they earned?"

Bear that in mind when you tell people on UC that they should 'work more'.

If you are talking about marginal taxation, a working person on UC, earning an extra pound gets the following deductions:

£1.00
Pension £0.058
Tax £0.20
NIC £0.08
Net £0.72

UC deductions £0.72 x 0.55 = £0.3641

Total net income £0.36

So a low earner gets a higher rate of deduction than a higher tax earner.

If you are on UC you should still work more if your effective marginal tax rate is 100% as you should strive to be less of a burden on the state.

You can’t equate that to someone deciding that they don’t want to give away 60%+ of the next £ they earn while receiving no state support whatsoever.

outdooryone · 04/11/2025 10:07

Lougle · 04/11/2025 09:45

"Why would anyone work for 40 pence out of every pound they earned?"

Bear that in mind when you tell people on UC that they should 'work more'.

If you are talking about marginal taxation, a working person on UC, earning an extra pound gets the following deductions:

£1.00
Pension £0.058
Tax £0.20
NIC £0.08
Net £0.72

UC deductions £0.72 x 0.55 = £0.3641

Total net income £0.36

So a low earner gets a higher rate of deduction than a higher tax earner.

This is the core of things - High Rate earners feeling 'hard done by', yet the reality is that lower rate tax payers and those on the margins of poverty have a greater burden of tax per pound. They pay the same 20% VAT, car tax etc, which is proportionally more as their spending is not discretionary. They have withdrawal of benefits and less than progressive rate of NI. They cannot afford to save for old age, so missing the tax benefit that the wealthy enjoy at 20% or 40%. Their council tax or stamp duty on a modest semi-detached, as a proportion of overall wealth, is much higher than someone in a £1m mansion. So many of the 'woe is me tax' choices by the wealthy are choices - they choose expensive cars and houses, they spend more discretionary etc etc. But, even before that they often can make more use of tax breaks and systems which benefit the wealthy.

I personally would rather see a much more progressive tax and benefits system, one where instead of a few 'steps' in benefit and tax there many more 'steps' in benefits and tax, making the withdrawal of support less severe, but also focussed on those who earn huge amounts. I would also see a much simpler system - let us do away with NI and up income tax, so in future years we do not have these odd 'steps'.

MariaMyBeck · 04/11/2025 10:08

GehenSieweiter · 04/11/2025 10:01

I'd prefer to thank those who are actually doing the graft, but each to their own.

We wouldn't have Google or Microsoft if it wasn't for Brin, Page and Gates.

And thanks to them they built companies that have improved our lives and given many people valuable employment.

GehenSieweiter · 04/11/2025 10:10

MariaMyBeck · 04/11/2025 09:48

If you're on UC you should feel ashamed to be on UC and should be striving to get off it and be self sufficient

Actually, folk making comments like yours should be ashamed? What do you think would happen if nobody worked in low paying jobs such as retail and hospitality, services such as cleaners and binmen , much of the NHS, childcare, education and so on? Are you going to fulfill all of these roles or campaign for them to be paid more generously? Thought not.

GehenSieweiter · 04/11/2025 10:11

MariaMyBeck · 04/11/2025 09:57

Why would you "get too sick to work" barring like a car crash?

Have you considered having a healthy active lifestyle and eating well?

Are you actually this stupid or some sort of BOT?

Fearfulsaints · 04/11/2025 10:11

Bumblebee72 · 04/11/2025 09:00

I agree it isn't in the government's control. It is in people as a collectives control. If you don't want to support billionaires don't. Buy direct from farmers and local business rather than using Amazon/supermarkets etc.

I have tried that but the shops shut anyway. Its one of those issues where it only works where everyone does it and like a lot of things I had the luxury of being able to pay more for my product buy local and support the local area, but others simply cant or another group dont see the benefit of that, until its lost and the area is rundown, then they move to dubai!

GehenSieweiter · 04/11/2025 10:13

MariaMyBeck · 04/11/2025 10:08

We wouldn't have Google or Microsoft if it wasn't for Brin, Page and Gates.

And thanks to them they built companies that have improved our lives and given many people valuable employment.

We wouldn't have the products if grafters didn't make them.

Digdongdoo · 04/11/2025 10:15

GehenSieweiter · 04/11/2025 10:10

Actually, folk making comments like yours should be ashamed? What do you think would happen if nobody worked in low paying jobs such as retail and hospitality, services such as cleaners and binmen , much of the NHS, childcare, education and so on? Are you going to fulfill all of these roles or campaign for them to be paid more generously? Thought not.

All those jobs are important. It still doesn't mean that people shouldn't strive to improve their own circumstances where possible. Lack of ambition is at least in part, facilitated by the welfare state. If everyone was more ambitious, salaries would naturally increase. It's a self fulfilling problem. People are not poorer out of civic duty.

Araminta1003 · 04/11/2025 10:15

Billionaires should pay a fair tax and not interfere in democracy by having too much sway/power, but unless there is international agreement between all countries to deal with this, annoying them just leads to relocation. We all know this to be the case, hence the fact we do not want the “Rich” to leave. It is a compromise a rationale person makes. Just like the acknowledgment that you allow people to keep a reasonable amount of their wage to incentivise them, especially when you know that all young and skilled people are assets that other countries want to attract. We are in international competition and need to be better than other similar countries. Whether anyone likes that morally or not. Morality does not come into it. If you want to look after your truly vulnerable you have to pay the international markets and finance game, if you do not, you actually hurt the most vulnerable the most. So if Reeves is not going to cut welfare waste and spending the national debt we pay is just going to increase. If people are not willing to buy our story and our investment strategy, we pay more because we are risky and bad debt. Just like an overly leveraged mortgagee. It is no different.

strawberrybubblegum · 04/11/2025 10:16

onetrickrockingpony · 04/11/2025 09:49

I’m going to bite, even though this thread is pages long and no one will read it.

I’m a high earner. I pay an insane amount of tax. There’s no point me overpaying into my pension because the tapered allowance means I get taxed on most contributions.

I’m not from a wealthy background, but I have always worked extremely hard. I don’t know how long my high salary will continue and I can’t rely on it doing so because often high salaries come with high risk.

I am trying to build wealth and security but being taxed so punitively makes me think “what is the point of working so hard”.

I know that many people do work hard. I do. But I also know that many people have work life balance, don’t answer emails and calls whilst on holiday, and have hobbies. I do not.

I am on call and working 8:30am - 10:45pm Monday-Friday, and on call every weekend. I get home, have dinner, work some more. I work through my holidays and have never not taken my laptop. I don’t put an out of office on. I have dictated work emails for my husband to write whilst I’ve been driving and also in Resus having a miscarriage. I have answered emails whilst in labour. I’m currently on “‘maternity leave” with a ten week old baby. I answered the work messages whilst in labour and immediately after. I have a nanny looking after her two mornings a week so I can keep work going. I haven’t watched a single box set. I haven’t done a single coffee shop trip with my baby.

When not on “maternity” I don’t see friends during the week because I kept having to cancel. And that has been true for ten years whilst I have been trying to build, create, and deliver. I do not have hobbies other than the occasional swim or exercise class.

But what is the point of all of this, taking on personal financial risk, health risks, and taking on the burden of being an employer and trying to do a good job of it, if the benefit is taxed off me so that I am taken down to the level of struggling.

Rather than strip higher earners of their salaries, maybe the government could show a little gratitude to those individuals in business who make immense personal sacrifices and pay for running this country.

I've read your post. I hear you.

I agree that everyone should appreciate the hard work you've put in, and how that's helped the UK through your taxes.

And more importantly, I hear the sacrifices you're continuing to make.

And my human, one-mother-to another advice is to stop now, just for a bit. You have a lovely 10 week old baby, and honestly that is the most important thing in the world. The time you take with your baby now, the bond you make, the joy you take - that's all for you. No one can tax it. And you'll have what you build now for your whole life - your relationship with your child - the most precious thing you'll ever build.

You'll keep your career, even if you take a step back. Really, you will.

Best wishes.

Stopthiscrapnow · 04/11/2025 10:17

GehenSieweiter · 04/11/2025 09:58

Honestly, you are. Please widen your influences.

Honestly, please stop being so patronising! Perhaps widen YOUR influences?

Araminta1003 · 04/11/2025 10:18

Going on about the sacrifices of unskilled labour is besides the point. Someone with no skills is less valuable than someone with lots of skills that are expensive to train and acquire. Most people can learn to be a good cleaner in a few days, a small percentage of people are smart enough to become doctors and do the training for many years. We can be grateful to those who clean for us, but their economic value is less because they are easily replaced by anyone else who is young and fit from all over the world. Whereas the doctors are not.

onetrickrockingpony · 04/11/2025 10:18

My other unpopular opinion is that I think MP and minister salaries should be doubled. We are never going to have a smart and talented government when the salary is such a deterrent, particularly given the career instability. Instead, we are stuck with this bunch of numpties.

GehenSieweiter · 04/11/2025 10:19

Digdongdoo · 04/11/2025 10:15

All those jobs are important. It still doesn't mean that people shouldn't strive to improve their own circumstances where possible. Lack of ambition is at least in part, facilitated by the welfare state. If everyone was more ambitious, salaries would naturally increase. It's a self fulfilling problem. People are not poorer out of civic duty.

There's lots of complex reasons why some people end up in lower paid jobs, and it's a good job they do because society relies on many of them.

GehenSieweiter · 04/11/2025 10:19

onetrickrockingpony · 04/11/2025 10:18

My other unpopular opinion is that I think MP and minister salaries should be doubled. We are never going to have a smart and talented government when the salary is such a deterrent, particularly given the career instability. Instead, we are stuck with this bunch of numpties.

Doubled? Most of them have several other income sources. What we need is more accountability.

onetrickrockingpony · 04/11/2025 10:21

@GehenSieweiter they wouldn’t need several other income sources if they were properly paid. Maybe if they didn’t have multiple jobs they would do a better job of their main one.

GehenSieweiter · 04/11/2025 10:21

Araminta1003 · 04/11/2025 10:18

Going on about the sacrifices of unskilled labour is besides the point. Someone with no skills is less valuable than someone with lots of skills that are expensive to train and acquire. Most people can learn to be a good cleaner in a few days, a small percentage of people are smart enough to become doctors and do the training for many years. We can be grateful to those who clean for us, but their economic value is less because they are easily replaced by anyone else who is young and fit from all over the world. Whereas the doctors are not.

The lower paid, and sometimes lower skilled, positions allow others the luxury of higher paid positions.

Fearfulsaints · 04/11/2025 10:22

Digdongdoo · 04/11/2025 10:15

All those jobs are important. It still doesn't mean that people shouldn't strive to improve their own circumstances where possible. Lack of ambition is at least in part, facilitated by the welfare state. If everyone was more ambitious, salaries would naturally increase. It's a self fulfilling problem. People are not poorer out of civic duty.

If that were so, there'd have been less poverty before the welfare state, or in countries that dont have a such a generous welfare state. This doesnt seem to be so.

GehenSieweiter · 04/11/2025 10:22

onetrickrockingpony · 04/11/2025 10:21

@GehenSieweiter they wouldn’t need several other income sources if they were properly paid. Maybe if they didn’t have multiple jobs they would do a better job of their main one.

They don't need the extra income sources and they are already paid well.

Natty13 · 04/11/2025 10:26

People go round in circles arguing about how "hard" people work and that having either nothing or in fact everything to do with income.

Nobody arguing that those on lower incomes arguing that they work "just as hard" seems to have considered that gaining an undergrad, 2x masters, and a PhD in order to enter a certain high paying job is HARD. Paying off education debt way into your 40s when you have small kids to feed and house is hard. Working 60 hours a week and answering work emails on nights and weekends is hard. Everyone works hard, nobody is disputing that. But often the higher earners have worked way, way harder to get where they are and make just as many, if not different, sacrifices. It isn't a race to the bottom.

MariaMyBeck · 04/11/2025 10:27

GehenSieweiter · 04/11/2025 10:04

A) People on much lower incomes also work for their money. The financial reward for jobs/roles is in no way related to the importance of it.
B) Nobody said it was your fault that people are poor(er) but a functional society supports the vulnerable.
Contributing to society isn't you being demonised.

Edited

A) people on lower incomes need to assess the choices they made that lead them to low earning careers. A barista working tirelessly on a shift is all good and all but isn't worth the same as a neurosurgeon for example. DH and I both made good choices, both have master's degrees in stem fields. My DH works tireless and delivers value on projects for clients which is why he gets paid through big bucks.

B) we pay enough tax as it is. At some point there has to be personal responsibility and people need to look after themselves. The welfare bill is high already.

At some point our money is for ourselves and our family.

Lougle · 04/11/2025 10:27

MariaMyBeck · 04/11/2025 09:48

If you're on UC you should feel ashamed to be on UC and should be striving to get off it and be self sufficient

I'm not ashamed to be saving the state a fortune by caring for my 3 children with SN, 1 of which would need round the clock care. I'm also not ashamed that my husband works in a relatively low paying job that allows 600 pupils to receive their education safely.