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Thursday, May 26, 2005
 
Government adviser advocates 51% income tax

The Daily Express' front page story today reveals that the Prime Minister's Special Adviser wants the ceiling on National Insurance contributions to be abolished, heralding a 51p in the pound tax rate for those earning over GBP32,000 a year. In his book The New Egalitarianism, Patrick Diamond recommends abolishing NI for the low paid and floats the idea of soaking the better off. He asks: "Is it not time to remove the ceiling altogether?"

The newspaper quotes the TPA's description of the proposals as "a massive attack on the hardworking middle classes." TPA Chief Executive Matthew Elliott said: "Labour implied heavily during the election that it would not increase National Insurance again. But now we appear to be glimpsing their real plans."

Posted by Matthew Elliott | Permanent Link


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