To be pissed off about a potential 6 more years of frozen tax bands

[hangerup]

I know the country is broke.
I know everybody needs to pay more tax but seriously another 6 yrs of frozen tax bands!!

We have had years of wage stagnation after never recovering from the 08 crash.

If you allow for inflation 53k today is the equivalent to 28k in the early 00s.

In the 90s less than 4% of workers paid the 40% higher rate & we have ridiculous cliff edges today.

This disproportionately impacts younger workers & I think it's wrong.

We still have high tax free bands compared to many other European countries. Personally I think it should be lowered! More people need to pay tax. I do think there needs to be more bands though, although that complicates things further, but if everyone paid a little more, then job done.

If course, they could stop being dicks and just raise 1p on income tax or raise VAT. So much easier. And certainly better than dicking around with wealth/property/inheritance taxes.

Six years from now the employment landscape will be unrecognisable, by the early 2030s, the mass adoption of A.I will have lead to mass unemployment. Frozen tax bands will be the preserve of the tech bods, everyone else will be applying for UBI, or whatever rashions the Government decides to hand out.

@OldYorkMum Within my friendship group six of us have retired early between 56 and 60. I think apart from one we were all HRT. Still all paying tax on our on work pensions.

You would be better putting extra contributions in to your pension to stay under the threshold.

I think we need to get more people into work, there’s far too many people who just refuse to work. I 100% agree that there are some people who genuinely can’t work but they’re in a tiny minority. Most people could find a job, any job, if they had the get up and go. We need more people paying into the economy and not as many taking out of it.

Dh has started to put some of his salary into a private sipp.
He already pays 40% tax and has done for some time.
Until the government start taking the billionaires, we are screwed.
HRTs like my dh are sick of bearing the tax burden.

He's also thinking of retiring early, which I fully support.

I will when my employer offers a tax efficient AVC. Until then I am enjoying the reduced hours, thanks.
I also have a pension already and no effing way will I be paying 40% tax on that!!
No objection to paying 20% tax.

I wonder if they'll freeze the state pension so that it stays below the tax threshold, or if they'll go through the hassle of collecting the tax on it if it goes up?

Reducing the tax take for working benefit claimants would save money.

Every extra pound they get in net pay saves 45p in universal credit.

The first thing any worthwhile government of any colour should do is put a stop to the huge amount of wasted money in Govt departments - education, health, military, councils, the lot. DS works in the RAF - they recently had a kitchen in their block refitted. Took 6 months and cost £18k PER KITCHEN (I think 4 blocks were done). The end result? A space approx 10ft x 5ft (being generous)- no doors as its part of a common area with a two ring halogen hob and three cupboards. Oh and a sink. That's it. The hob got broken within a week when someone put a pan down too heavily. And that's just one block in one base in one country. These were renovated so no new wiring or plumbing required.
Multiply that by the number of bases, add in some hospitals with similar issues ie ridiculous costs from contractors retained because they know a minister who gets a kick back from retaining them, add in several layers of 'management' that could be disposed of across all levels and they would probably save millions within a couple of years.
But nothing will happen - its the same principle as vets, auto repairs, building repairs - once they know something is covered by insurance, they increase their price. Its totally wrong but it will take a very strong person to put a stop to it.

Fiscal drag also encourages the black economy. Working people cut their PAYE hours and make up the deficit by working cash in hand. Many resent paying VAT because it impacts the poorer members of society disproportionately. So will happily pay cash for someone to tidy their garden, walk their dog or put up a few shelves.

Reducing tax take? lol.

Why would Labour do that. They have increased taxes.

So spend less.

They've spent all the money and then some.

They must stop spending.

Cuts will be unpleasant.

They need to grow the economy at the same time.

Government and civil service corruption in this country is out of control. It is a complete disaster.

I'll correct that for you '.... How do you know when a politician is lying', as the conservatives did for far too long. You're welcome.

In other news, Angela Rayner is buying more houses, after the corrupt tax authorities and police ignored the alleged dodgy business with her council house sale.

This shitshow of a Labour government is taking the piss out of the electorate, while robbing the taxpayer.

An increase in VAT disproportionately affects lower earners.