Income Tax Threshold Freeze

[Starzinsky]

Is it insane to want to find a way to protest about the income tax threshold freezes. Surely they can't keep them at these levels till 2031. So fed up with this government.

Yanbu. The average earner is paying a fortune in extra tax after years of tax band freezes. It is awful.

yanbu even tho I pressed the wrong button!

The 5 year freezes were put in by Jeremy Hunt

not the current Government

Yeah the amount of people on the low end of middle earners in the higher bracket is insane.

Just press the other. You can change vote!

Can the current gov not change it ?

It's easier to ring the middle folk out like a sponge.

One end of thescale they'd upset their wealthy mates.

The other end they'd look like proper arseholes. (and they wouldnt be able to crow about how much they "care")

So they go for the middle. No one gives a shit about the middle. Raid away.

It would cost a lot of money to raise the thresholds significantly. Where would you want the money to come from?

The £100,000 threshold has been in place since 2010 and frozen until 2031.

Over 20 years!

Do you understand inflation?

If they don’t raise the thresholds, we are all worse off every year.

I’m utterly de-incentivised to earn more than I do. I already pay everything above 100k to pension. So I see only a fixed income. I get no increments, no bonuses and there is no point at all in trying to earn more money via promotion / job change. Why would I take more stress for the same take home. Yes it’s going to my pension but who knows for certain whether we will live to see that money - be healthy and mobile to enjoy it. I’d rather pay 40% and have it now! But wait - tax bands are frozen. It’s mental!

Spoke to a someone who works in finance /banking and they said if it were inflation adjusted the 100k threshold would move to 160k!
no wonder they don’t want to!

UC budget

Would love to be in your position.... cant afford to pay into a decent pension and my retirement is looking as bleak as my working life.

Hopefully you will enjoy a long and prosperous retirement.

But the current government, like the people who make laws, can change that.

Its a stealth tax. You can't blame them, they are slashing the tax on gherkins after all. Plus a half arse £100 based on how big your house is...so if you're poor with a big house...

Its a very strange budget. I mean the extra help if you don't earn enough pension...so you could have £1m pension you're drawing down on and decide not to draw cash out for a while you get extra state pension?

But at least welfare is going higher and benefits claimants are protected and able to get more money. So all is well.

That is right of course, but it doesn't negate what I said.

How surprising - not.

Of course most of DWP expenditure is on pensions and related benefits. I imagine you wouldn't be so keen to take the money from those.

But their taxes are also going up….
So they are not in a better position than those on higher incomes.

Whose taxes are going up. People on benefits can’t be net contributors so their taxes are irrelevant. They are getting more out of the system than they are paying in.

Agree to an extent and it's very disheartening to be on a salary that I thought was out of my reach 10 years ago but not to feel much better off than I did then. But what else can they do? The money has to come from somewhere. If they go for the rich/big business/landlords etc all we hear is they will leave/not hire anyone/not invest/move their money. They obviously can't/shouldn't go for the most vulnerable, so the only option is to keep squeezing the middle who can't do anything about it and will still (just about) survive. Very depressing.

And if they don't take in enough tax the country is worse off and we have not enough money to spend on public services.

It’s ridiculous & I complained frequently on here when the Tories introduced but it seems to have taken a few years for people to notice the impact.

You need to earn 65k if you were earning 55k in 2022 just to keep up with inflation.

Stop targeting income tax & target wealth