80k is not fantastical at all. It is not uncommon for a person running a business with 50 people in it to be on 6 figures these days. And it is not just bosses either. I have a skilled workforce and there are at least 5 shopfloor engineers in the business who (with overtime) earn £65k+ every year. One guy regularly earns £75k.
You are completely out of touch if you don't belive 80k isn't a fantastical sum
The high tax threshold starts at £46k so with NI I take home less than half of what I earn.
For people who earn over 100k it is worse. because for every £2 over that earned you lose £1 off your tax free allowance. At the moment that is about £11.5k. So if your earnings get to £123k you have lost all the tax-free allowance meaning that you start paying tax at 20% from zero and the 40% band kicks in around £35k. My benefits in kind - i.e car, fuel and health cover take me to that threshold so that is why I clear less than 50% of what I earn. If that situation worsened then I there is not doubt in my mind that this would have an effect on business creation. You'd get CEO's retraining to be self-employed plumbers because they'd be better off with none of the responsibility. How does that help jobs?
If there's a demand for the jobs the ceo who's retrained as a plumber has given up then those jobs will just be taken by someone else
You are right this is still more than a lot of people. But you should look into post war tax rates. Take 1975/76 when I first started. There was hardly any tax free allowance and the rate started at 33%. High earners were really targeted paying up to 90%. We had a lot of nationalised industries with unions who were used to having their pay demands met. These pay demands were met by the UK tax payer. Which in turn meant the probability of taxes reducing was almost zero. The country's public services were actually crap and in no way reflected that tax take. Loads of wealthy folk left the country and although I don't have data to hand I would wager that the rate of new business creation was nowhere near what it was in the late 80's when taxes became more business friendly.
The thing to bear in mind is that in order for the government to run those public services (such as they were) required the burden to be shared by the general populace i.e 33% in the £. The tax burden is similar now but it is not taken at source as it was then and much is put into VAT and other things.
Thanks for the history lesson but fact is people set up business in high tax Britain. They do it today in the high tax scandi nations. America has a very high corporate tax rate and they still set up business
This is why Labour are lying about their spending plans. To get anywhere near funding them they would have to take it from the whole of the workforce and not just the high paid and businesses. That is to say nothing of the borrowing.
Funny you say this because the party that loves direct taxes are the Tories, its the most regressive form of tax hurting the poorest most
And one more thing. You obviously think that I am some high-flying elitist rather than the work-a-day boss I am, along with thousand of others in this country. Most of whom are doing their level best to keep their businesses afloat and, if they are like me, it's not all for selfish reasons. Some, you may be surprised to learn, actually care quite deeply about their employees. But if you want to characterise us all has Victorian work-house bourgeois chucking 9 year old boys into machinery for no wages, then that is your prerogative.
I just think you are out of touch, and haven't a clue what earning 80k would feel for 95% of this country
You presumably are on this site because you support United. I would venture that you should look in the direction of players that earn 300k a week and clubs that can spend £200m on a kid that happens to be good at kicking a ball around.
I don't care what they earn, only they pay their taxes. Also do you think a footballer isn't going to be a footballer because he'll be in the upper tax band?
