Tories announce tax cuts for the rich

[Englishboy]

What was in the mini-budget and what is the government's new plan?

Almost all tax measures announced in the mini-budget will be reversed.

www.bbc.co.uk

45% higher rate of income tax abolished for England, Wales and Northern Ireland taxpayers

One single higher rate of income tax of 40% from April next year

Cancel UK-wide rise in corporation tax which was due to increase from 19% to 25% in April

Rules which limit bankers' bonuses scrapped

Rules around universal credit tightened, by reducing benefits if people don't fulfil job search commitments

Around 120,000 more people on Universal Credit to be asked to take steps to seek more work, or face having their benefits reduced

Jobseekers over 50 to be given extra time with work coaches to help them return to job market

 

[Angela Channing]

It's a disgrace on so many levels. It's cutting money for the poorest people while giving more money to the richest. The tax cuts will be mostly funding by dumping the bill on future generations. There is nothing wrong with borrowing to invest but borrowing to cut taxes for the rich is immoral.

Now we know why Kwasi Kwarteng was laughing during the Queen's funeral, he was thinking about how he was going to screw over the poor.

 

[Englishboy]

I agree.

To put it into a realistic context, people forget that under Margaret Thatcher and her extremist government the higher rate of income tax was set at 60 per cent for 10 of her 11 years in office whilst corporation tax was at the level of 34 per cent (roughly double what it is now) when she left office in 1990.

So, these current rates announced today are even more extreme than what they were under her right wing government.

 

[Luke_Krebbs_Ewing]

So much for Liz Truss being any better than Boris Johnson.

She's just as bad as he is.

 

[Englishboy]

It’s a robin hood budget in reverse - “stealing” from the poor to give to the rich. “Stealing” from the impoverished north to give to the affluent south. So much for levelling up!

Disappointed to hear that Labour support the cut in basic rate tax from 20% to 19% as this will disproportionately benefit higher earners as they pay more basic rate tax.

It also ignores the fact that some of the most vulnerable in society such as pensioners and the unemployed are on fixed incomes and won’t benefit from a rate cut.

 

[Angela Channing]

It’s a robin hood budget in reverse - “stealing” from the poor to give to the rich. “Stealing” from the impoverished north to give to the affluent south. So much for levelling up!

It's a common fallacy that the north is impoverished and the south is affluent but it's not really that simple. Some of the most deprived areas in Britain are in London, for example, Tower Hamlets for example has the highest levels of child poverty in the whole of England. It's just that there are some very rich people in the south which skews the data. It should be less about North vs South and more about reducing inequality.

Disappointed to hear that Labour support the cut in basic rate tax from 20% to 19% as this will disproportionately benefit higher earners as they pay more basic rate tax.

Labour's policy on the basic rate of income tax is weak. They should be arguing to reverse that tax cut and target the money better to help the poorest people in society. People on an average or below average income will barely notice the difference the tax cut will have on their take home pay so it would be more effective if more of it went to those on the lowest incomes. The fact that Labour under Keir Stamer can't make this case is really disheartening.