No Extra Taxes on the Wealthy in the UK

October 8, 2012 Taxation in UK

David Cameron
LONDON – The richest taxpayers in the UK can breathe a sigh of relief as the government defends the cut to the country’s top tax rate and refuses to support more direct taxes on the rich.

In a television interview on October 7th the Prime  Minister of the UK David Cameron ruled out the proposal of the Liberal Democratic party to implement wealth taxes or any additional taxes on expensive properties, but also said that the government will soon take further action to ensure that the richest taxpayers in the country pay “a fair share”.

Explaining his position, the Prime Minister said “…I don’t actually believe we should be a country where if you work hard, you save, you buy yourself a house, you try and pay down the mortgage, you save and invest into that house – I don’t want to be a country that comes after you every year with a massive great tax.”

David Cameron also stated that he does not “…think it’s sensible to have a wealth tax in the sense of a sort of tax on your wealth levied annually.”

During the interview the Prime Minister also backed the recent government decision to cut the country’s top tax rate for personal incomes from 50 percent to 45 percent, saying that the richest 10 percent of taxpayers in the country were already paying a large portion of the country’s taxes, and the high tax rate was “completely uncompetitive”.

While rejecting the proposal for a wealth tax or a additional property taxes, the Prime Minister did suggest that the government would soon take further action to raise the amount of tax revenue gathered from wealthy taxpayers, but refused to reveal what the measures will be.
Photo by The Prime Minister’s Office