‘Perverse’ tax system means work doesn’t pay, warns Treasury Select Committee chief
Telegraph
23-05-21 15:39
The chairman of the UK's Treasury Select Committee, Harriet Baldwin, has urged Chancellor Rishi Sunak to reform the tax system, which she claimed was riddled with punishing levies and "perverse incentives". She said "horrible cliff edges" in the present tax framework had left many people questioning the value of working an extra hour. Baldwin also said it was only individuals who earned over £250,000 who could escape the current system's web of thresholds and levies, with some middle-class families facing marginal tax rates of above 100%. She added that there needed to be a focus on eliminating "quirks" in the system so that work pays. Baldwin also argued that high street banks were failing to deliver the returns to savers they deserve.