Currently income related taxes upto the "high earning level" of £50k is a marginal rate of about 40% (including employer NI)
From £50k-60k it increases to 49%, however if you have a couple of kids it increases to 65%. From £60k to 100k it's back down to 49%
Your proposal would increase single income households on average post-tax pay to a marginal tax rate of 80%. 95% if you include bsc/msc student loan repayments, and over 100% with 3 kids.
In the meantime millionaire pensioners sitting with twice the post-tax post-housing income are paying a marginal rate of 20%.
From £50k-60k it increases to 49%, however if you have a couple of kids it increases to 65%. From £60k to 100k it's back down to 49%
Your proposal would increase single income households on average post-tax pay to a marginal tax rate of 80%. 95% if you include bsc/msc student loan repayments, and over 100% with 3 kids.
In the meantime millionaire pensioners sitting with twice the post-tax post-housing income are paying a marginal rate of 20%.