Economists query impact of 45p top tax rate

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The Treasury raised an extra £1.3bn from income tax in the first month since the introduction of the 45p top rate, according to the latest figures.

The Treasury said it took £11.5bn in income tax in April, a 10% increase on the same month last year, reports the Telegraph. At Budget 2012, the Chancellor George Osborne confirmed the 50% top rate of income tax would be cut by 5p in the pound from April 2013. The coalition claimed the 50p rate introduced by Gordon Brown had not sufficiently boosted income tax receipts. Labour has consistently criticised the move, claiming it could save millionaires an average of £100,000. Last month, Ed Balls said the government had "no evidence" to support its claim that the 50p rate was not rais...

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