BenefitsAdvice
Would you like to react to this message? Create an account in a few clicks or log in to continue.

Axe personal allowance and pay everyone £48 a week, says thinktank

Go down

 Axe personal allowance and pay everyone £48 a week, says thinktank Empty Axe personal allowance and pay everyone £48 a week, says thinktank

Post by Guest Mon Mar 11, 2019 1:39 pm

(Not sure this is the right folder for this)

Radical tax proposal by the New Economics Foundation backed by shadow chancellor

The tax-free personal allowance, which rises to £12,500 in April, should be scrapped and replaced with a flat payment of £48 a week for every adult, according to radical proposals welcomed by shadow chancellor John McDonnell.

The proposal, from the New Economics Foundation thinktank, is for a £48.08 “weekly national allowance,” amounting to £2,500.16 a year from the state, paid to every adult over the age of 18 earning less than £125,000 a year. The cash would not replace benefits and would not depend on employment.

The policy idea has been welcomed by the shadow chancellor, John McDonnell, and the Green MP Caroline Lucas, and would mean that as many as 88% of all adults would see their post-tax income rise or stay the same, helping to lift 200,000 families across the country out of poverty.

https://www.theguardian.com/politics/2019/mar/11/scrap-tax-free-personal-allowance-and-pay-everyone-48-a-week

Guest
Guest


Back to top Go down

 Axe personal allowance and pay everyone £48 a week, says thinktank Empty Re: Axe personal allowance and pay everyone £48 a week, says thinktank

Post by Caker Mon Mar 11, 2019 1:54 pm

Very interesting idea.

The downside is that employers could see it as a wage subsidy, like WTC, and use it to pay less. It would then benefit the industry more than the recipient.
Caker
Caker

Posts : 1812
Points : 2414
Reputation : 270
Join date : 2017-04-14

Back to top Go down

 Axe personal allowance and pay everyone £48 a week, says thinktank Empty Re: Axe personal allowance and pay everyone £48 a week, says thinktank

Post by Caker Mon Mar 11, 2019 2:01 pm

Abolishing the tax free allowance would mean that we pay more tax though, by the look of it. I personally think the tax allowance should be higher to take more poor people out of tax liability altogether.
Caker
Caker

Posts : 1812
Points : 2414
Reputation : 270
Join date : 2017-04-14

Back to top Go down

 Axe personal allowance and pay everyone £48 a week, says thinktank Empty Re: Axe personal allowance and pay everyone £48 a week, says thinktank

Post by Sponsored content


Sponsored content


Back to top Go down

Back to top

- Similar topics

 
Permissions in this forum:
You cannot reply to topics in this forum