Thursday, July 24, 2014

Premier League Already Pays £1.3 Billion in Tax Per Year

ed

Labour’s latest proposed tax on fun is a 5% compulsory levy on Premier League football TV revenues, announced by Harriet Harman this morning. The Premier League tell Guido that they already contribute £1.3 billion in tax revenues to the government annually, so it is inevitable that the cost will be passed on to fans. The cheapest season ticket at Arsenal for the coming year is £1,014, already a 3% hike on last year, while a Sky Sports TV package sets you back another £552 a year. Under Labour you would likely end up paying more. What cost of living crisis?

Friday, July 18, 2014

BBC Justifies Telly Poll Tax By Claiming Poor Watch More TV

The BBC claims that the licence fee poll tax is justified because poor people watch more television than better off households. With Director General Tony Hall appearing in front of the DCMS select committee this week, the Beeb’s Director of Policy James Heath blogged that a flat rate licence fee is fair on the poor because they watch so much TV:

“The argument for a uniform fee is that there is a direct link between the level of the service received by everyone, and the level of the charge made on everyone. While the licence fee does constitute a higher proportion of lower households’ expenditure, these households also consume more BBC TV than richer households.  As a proportion of household spending, the licence fee is lower than expenditure on many other household items, including transport services, communications, and fuel. Over the last five years the cost of many household items has gone up significantly in real terms while the cost of the licence fee has declined. The licence free represents a very small percentage of household expenditure – even for the lowest income decile, on average, the licence fee is around 1 percent of household spending.”

Dismissing people on a low incomes as a bunch of idle, square-eyed couch potatoes hardly seems in keeping with the liberal, progressive values of Aunty Beeb. If a right-winger patronised less well-off people by telling them a flat tax was value for money because they spend so much time in front of the telly, the Today programme would be in uproar…

Wednesday, July 16, 2014

The Death of the ‘Squeezed Middle’
Miliband Ambushed By More Harman Comments

The last PMQs before the summer break is one of the most important of the year, as it leaves a lasting impression about the leaders before MPs disappear off for the summer to stew. Poor Ed.

Miliband was just ambushed by Cameron on Harriet Harman’s comments to LBC that she thinks middle income earners should pay more tax. She’s having a great week…

Unsurprisingly, the audio is now being pushed out:

‘Yes I think people on middle incomes should contribute more through their taxes’

According to Ed, pointing this out the death of the ‘squeeze middle’ line is ‘desperate’. Expect to hear this line a lot more. Nightmare last outing before the long, hot summer…

UPDATE: The in-house journal of the Labour Party are not impressed:

Nor is the Tory press:

Tuesday, July 8, 2014

Bigmouth Strikes Again: Classic Hodge PwC Dodge

Question-dodging Margaret Hodge chaired a panel discussion in parliament this morning on tax transparency, wasting no time in piling into the ‘Big Four’ professional services companies for failing to use “copper bottom schemes” to prevent tax avoidance. Awkward then, that sitting two seats along from Hodge the Dodge on the panel is Shadow Exchequer Secretary Shabana Mahmood, who has just hired a new technical support analyst paid for by Big Four firm PriceWaterhouse Coopers. Indeed, a grand total of three Labour Shadow Treasury ministers have just brought in PwC staffers, paid for by the company, to help them with the Finance Bill. Not to mention Ed Balls, Chuka Umunna and a host of other Shadow ministers hiring from PwC in the past. The same Pricewaterhouse, of course, that Hodge herself used to work for. She really isn’t very good at this whole tax-y moralise-y thing, is she…

Wednesday, May 28, 2014

Cost of Taxation Crisis

Over the course of a year, the average British household pays more in tax than it spends on food, clothing, housing, fuel and power. As illustrated by this chart from the Taxpayers’ Alliance:

Click to enlarge.

Forget the cost of living crisis, Britain is facing a cost of taxation crisis…

Monday, May 12, 2014

WATCH: Gary and Dave in Happier Times

“It does help having an internationally renowned pop star with you, I must remember to take one with me everywhere I go.”

“Got your lipstick mark still on my coffee cup…”

Friday, May 9, 2014

Labour Would Cut an Oligarch’s Shopping Bill By £125,000

Labour’s VAT cut would do nothing to cut the costs of fresh fruit, veg or canned goods, despite what their new poster implies. It would however cut an oligarch’s £5 million shopping bill for a yacht, a Bentley, some jewellery bling and champagne by £125,000. Finally a One Nation Labour policy Guido and Peter Mandelson can support…

Labour’s VAT Bombshell Blows Up in Their Face

Another day and another Labour attack on Clegg. This time they are linking the Deputy Prime Minister to the VAT rise. Only one small problem: almost all of the products they have featured to explain how “they have put £450 extra VAT on your shopping bill” are charged VAT at a rate of 0%. As the taxman says “most food of a kind used for human consumption is zero-rated”. If your shopping bill has gone up it’s not because of tax on fruit and veg. Chalk that up as another attack success. 

Tuesday, May 6, 2014

Pan-European Tax Burden Rising
Tax Liberation Day Receding

As Europe’s voters consider their choices here’s a list of their tax freedom days. Brits only stop working to pay for the welfare state next Monday:

tax-liberation-day
Typical workers across the EU saw their average real tax rate rise again this year, from 45.06% in 2013 to 45.27% in 2014. The rise of 1.28% since 2010 is largely a consequence of VAT increases in 19 of the 28 EU member states since 2009. This EU-wide study uses a consistent methodology to calculate how long people have to work in 28 EU member countries before they can keep their earnings and stop paying the state. Cypriot workers have the lightest burden, working until 21 March to finance their government. Belgians, who work until August 6, maintain their position as the worst afflicted. It is a noticeable coincidence that the four lowest tax countries have benefited from British rule… 

Wednesday, March 19, 2014

Labour Finally Admit Bedroom ‘Tax’ is Not a Tax

Very helpful of Labour to provide us on Budget Day with a comprehensive list of tax rises that have taken place under this government:

The 24 Tory Tax Rises

1. VAT increased – to 20 per cent from 2011
2. Income Tax age-related allowances frozen and eligibility restricted (“Granny Tax”) from 2013-14
3. Income Tax higher rate threshold cut to £42,475 in 2011-12
4. Higher Income Child Benefit Charge introduced 2013
5. National Insurance Contributions rates, limits and thresholds increased in line with CPI rather than RPI from 2012-13
6. Income Tax higher rate threshold frozen at £42,475 in 2012-13
7. Insurance premium tax increased – from 2011
8. Capital Gains Tax increased – to 28 per cent for higher rate taxpayers from June 2010
9. New Beer Duty introduced on high strength beers from 2011
10. Duty on hand-rolling tobacco increased by an additional 10 per cent from 2011-12
11. ISA subscription limit uprated in line with CPI rather than RPI from 2012-13
12. National Insurance Contributions changes to contracting-out rebates from 2012-13
13. Capital Gains Tax annual exempt amount frozen, 2012-13
14. Stamp Duty Land Tax increase to 7 per cent on properties over £2 million from 2012-13
15. VAT increases on a range of items, including caravans, sports drinks, and listed buildings from 2012
16. Duty on tobacco increased by RPI + 5 per cent in 2012
17. Income Tax higher rate threshold cut to £41,450 in 2013-14
18. Capital Gains Tax annual exempt amount increased in line with CPI rather than RPI from 2013-14
19. Income Tax cap on reliefs introduced from 2013-14
20. Pension tax relief restricted from 2014-15 21.
21. Income Tax higher rate threshold Increase capped at 1 per cent in 2014-15 and 2015-16
22. Capital Gains Tax annual exempt amount increase capped at 1 per cent, 2014-15 and 2015-16
23. Inheritance Tax threshold frozen in 2015-16
24. National Insurance Contributions ending of contracting-out rebates from 2016-17

Eagle eyed readers will spot that one thing is missing: the “hated bedroom tax” is not on the list. Which means Labour must have at last decided that it is not a tax after all. Better late than never…


Seen Elsewhere

Small State Keynesians, Anti-Corporate Hayekians? | Chris Dillow
Ruffley Shows Why We Need a Proper Recall Bill Now | Alex Wickham
How is Miliband’s ‘New Politics’ Working Out? | Speccie
State Should Send More Poor Children Private | Sam Bowman
£1 Million Cost of Ed Balls’ Ego | Laura Perrins
William Hague’s Sausage Fest | Rochdale Online
Public Doesn’t Prioritise Housing | Mark Pack
Mysterious Case of Ruffley’s Missing Letter | Speccie
All the Single Ladies (And Lords) | Bloomberg
How Ruffley’s Resignation Became Inevitable | ConservativeHome
We Need a Recall Bill Now | Speccie


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Damian McBride writes in the epilogue to his memoir…

“At the time of writing, nine months from the election, I’ve concluded that Labour currently has no positive messages to communicate to anyone about why they should vote for the party, no policies which will persuade them, and is being run in a totally dysfunctional way.”



Rob Wilson says:

Without Predujice

Darling

What time will dinner be ready this evening?

Yours

Rob Wilson MP

In the interests of me I am placing a copy of this email in the public domain.


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