Stat of the day: £30

The amount added to households' tax bills because of the 50p tax rate for high earners, according to a report.

by Emma Haslett
Last Updated: 09 Oct 2013
Topshop tycoon Sir Philip Green et al might have plenty to complain about when it comes to the Government’s 50p income tax rate, but a report out today has suggested that even us ordinary folk will eventually be impacted by it. According to the Centre for Economics and Business Research, by 2016 the tax will have sent so many high earners scurrying abroad that eventually, less well-off taxpayers are going to have to plug the gap – leaving households to fork out an extra 30 quid a year.

To be fair to Labour, which introduced the tax in 2009, the flood of high earners moving to tax havens that many had expected has actually been more like a trickle. While Green almost immediately upped sticks to Monaco, some, like former M&S chief Sir Stuart Rose, have actually called for the Government to delay scrapping the tax (which is expected at some point in the next couple of years). The CEBR, though, reckons the tax has ‘largely become voluntary for high earners’.

Find this article useful?

Get more great articles like this in your inbox every lunchtime

Could coronavirus lead to gender equality?

Opinion: Enforced home-working and home-schooling could change the lives of working women, and the business...

Mike Ashley: Does it matter if the public hates you right now?

The Sports Direct founder’s response to the COVID-19 pandemic has drawn criticism, but in the...

4 films to keep you sane during the coronavirus lockdown

Cirrus CEO Simon Hayward shares some choices to put things in perspective.

Pandemic ends public love affair with Richard Branson et al

Opinion: The larger-than-life corporate mavericks who rose to prominence in the 80s and 90s suddenly...

The Squiggly Career: How to be a chief strengths spotter

When leading remotely, it's more important than ever to make sure your people spend their...

"Blind CVs don't improve your access to talent"

Opinion: If you want to hire socially mobile go-getters, you need to know the context...