New income tax rate set at 45%
The government has today introduced the new 45% tax rate for those earning over £150,000 per year but this is not planned to come into force until 2011. This has caused obvious concern within the Conservative party and while they have not commented specifically on the new tax, for fear of falling into a government trap, there are grave concerns that Conservative supporters will demand a clear strategy for the new income tax band.
This appears to be more of a political move that a fiscal move with the new tax band only affecting the top 1% of taxpayers in the UK and said to only raise a paltry £4 billion. At the same time as introducing this new tax rate the government has also confirmed that each basic rate taxpayer will be £145 better off next year due to changes in the tax bands. It is hoped that consumers will use this increased income wisely and it should hopefully instigate some form of economic recovery.
The Chancellor has caught many people off guard with his tax changes even though a number of the main ones where already leaked to the press. The 45% tax rate band had been kept under wraps until late last night and appears to have gone down well with traditional Labour supporters.
Is your personal confidential data safe in the UK?
After the announcement that HSBC has been fined £3.2 million with regards to data protection issues in the UK, many consumers will be wondering whether their private confidential data is actually safe in the hands of the government and private companies. Even though the HSBC fine has grabbed headlines today, there is no doubt that the UK government, and many other civil service offices, have also...Read More
Chancellor cancels increase in inheritance tax threshold
Alistair Darling has today revealed that he will cancel the planned increase in the inheritance tax threshold to £350,000 per person. This is yet another astounding U-turn by the UK government and while doing so under the guise of saving money and saving tax, it is purely and simply yet another attempt to differentiate the Labour Party from the Conservative Party. Those who have followed the p...Read More
UK savings market seems to be turning
UK savers have taken a significant battering over the last few months with a number of savings accounts offering near 0% interest at a time when cash is king. However, Close Brothers , a London-based bank, and Birmingham Midshires may well be about to shake up the savings market with a couple of interesting introductions which are sure to catch the eye of savers around the UK.
£400 a month for MPs to feed themselves!
As the MP's expenses saga continues it has been revealed that more than 30 MPs claimed an annual food allowance of £4800 a year even though for a significant part of the period they were not in attendance at Parliament. Many people will be confused as to how MPs were able to claim £400 a month for food, an allowance which was introduced to cover expenses while away from home, when typically the...Read More
Student loans review rejected by the Government
07/11/2014 MPs call for an urgent review of student loans has been rejected by the Government, despite being told the current system is under threat because of a “large potential black hole” in its figures. The Commons Business, Innovation and Skills (Bis) Committee has predicted that the student finance system will be carrying £330 billion in student loans debt by 2044. Under the curre...Read More