Over one million more people in the UK will pay the higher tax rate by 2026, according to new research. The analysis by the House of Commons Library—first published in The Daily Telegraph—says around 1.2 million additional workers will find their earnings going over the 40 percent tax threshold as a result of the government’s decision to freeze the personal tax allowance and higher rate tax threshold. Almost 1.5 million more people will be brought into paying the basic level of income tax. The Liberal Democrats, who commissioned the research, called on the government to drop its “stealth-tax raid” that will “clobber families who are already feeling the pinch.” It comes after Chancellor Rishi Sunak has argued it would be irresponsible to “duck difficult decisions” as Commons Leader Jacob Rees-Mogg called for the national insurance hike to be scrapped to relieve pressure on households struggling with the soaring cost of …
More Than 1 Million Britons to Pay Higher Tax Rate by 2026, Says New Research
January 7, 2022
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