Letter to the Telegraph
The Daily Telegraph has an excellent leader today arguing that tax "must be central to every voter's decision on May 5". It goes on to advocate raising the income tax threshold to reduce tax "for all Britons, and for the hardest-pressed families most of all."
The TPA has sent in a letter responding to the leader:
SIR - Raising the income tax threshold is indeed a good starting point for reducing tax bills (Comment, Apr 12) because freezing thresholds has been the biggest postwar 'stealth tax' of them all. Had the 1954 threshold increased in line with inflation for the past fifty-one years, people would not pay income tax until they earned more than GBP25,000, in contrast to the current personal allowance of GBP4,895. Both Labour and the Conservatives are committed to saving the GBP22billion of wasted spending identified by Sir Peter Gershon. This would be sufficient to increase the personal allowance by GBP3,437 to just under until GBP8,500 - a vote winning policy, if ever there was one.