A cap on tax relief for high earners could raise £10bn a year and help close the gaping public deficit, says the TUC.
The union will today tell the Chancellor capping the amount of tax relief claimed by those earning more than £100,000 would be a far more effective way of repairing the damaged economy than cuts to public services or tax rises hitting poor households.
TUC general secretary Brendan Barber will tell the Beyond Crisis Conference: "When the time comes to close the deficit - and that will only be when there is a strong recovery - it will only be fair to ask those who did so well out of the boom years to make affair contribution."
He will go on to argue that putting a £5,000 cap on tax relief claimed by those earning more than £100,000 is not only a sensible way of raising much-needed funds, but would make for a fairer and more just society.
"The super-rich have got better and better at getting out of paying tax, and this closes a whole set of loopholes at a stroke, without affecting the great majority of tax payers, including many well up the income scale.
"The fact that we can raise such a lot of money by asking the top 1% to pay a little more shows just how unequal our society now is."
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