The Key Ideas

#2 Introduce new 43p tax band at income over £50,000

We should introduce an additional tax band to seek a slightly bigger contribution from those on reasonably high salaries—perhaps those earning over £50,000. A higher tax rate for those in this band might be 43p in the pound, up from 40p. This would lead to a modest increase in the tax paid by affluent professionals and a more substantial tax rise for those on very high incomes. A cautious estimate would be that this would bring in approximately £180 million.