Tax threshold freezes to create 2.5m new higher rate taxpayers - LCP

‘Ultimate stealth tax’

clock • 2 min read
Tax threshold freezes to create 2.5m new higher rate taxpayers - LCP

There will be a surge in the number of people paying income tax at the 40% rate or above during this this Parliament as a result of a long-term freeze in tax thresholds and rampant inflation, according to analysis by pensions consultancy LCP.

In 2021, the HMRC estimated there were 4.3m people paying income tax at the higher rate of 40% or the additional rate of 45% at the time of the last election in 2019/20. It also estimated the numbe...

To continue reading this article...

Join Professional Adviser

 

  • Unlimited access to real-time news, industry insights and market intelligence.
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters.
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection.
  • Members-only access to the editor’s weekly Friday commentary
  • 
 Be the first to hear about our events and awards programmes.

Join

 

Already a Professional Adviser member?

Login

More on Your Business

PA's editors in pictures: Rob Kingsbury, Katrina Lloyd, Scott Sinclair, Julian Marr and Tom Ellis

Six editors in 21 years: Advice as viewed by those who ran Professional Adviser

From 2001 to 2022

Professional Adviser
clock 24 June 2022 • 9 min read
Neil Moles: "Then when we look back in another 21 years we'll see the exponential leap we've taken forward and we will be able to say without contradiction that everything has definitely changed."

Neil Moles: Everything and nothing has changed in 21 years

Many happy returns...

Neil Moles
clock 24 June 2022 • 6 min read
Uncomfortable reading: 21 years punctuated by advice scandals

Uncomfortable reading: 21 years punctuated by advice scandals

Learning from mistakes

Ayesha Venkataraman
clock 23 June 2022 • 17 min read