Not to be outdone by Boris channeling Gordon Gekko yesterday, Dave has launched his own staunch defence of wealth-creators. Bojo went after real terms falls in income, the PM says they should pay less tax:
“The fact is that if you carry on with a relatively high top-rate, that makes this country a less attractive place for wealth creators and entrepreneurs to be. If they decide to go elsewhere, that means fewer jobs created, less money for the Treasury, and less money to spend on schools, hospitals and growing our economy. These are all the things we took into account when cutting the top rate. Beyond that particular case, the fact is this: the top 1 per cent of income-taxpayers contribute nearly 30 per cent of all income tax – and those with the highest incomes will contribute more to income tax this year than under any year of the previous government.”
Even after the cut in the top rate of income tax to 45%, the one percent still make up 30 percent of all income tax revenue.