Should we be more open to a wealth tax?

Yes! Of course we need equitable tax. And the billionaires should be taxed. Their money does nothing good for us.

Have a look at today's podcast on YT The Rest Is Politics Leading to see the horrible spectacle of Rory Stewart cringing and wringing his hands and spouting the same old 'the rich will just move away ' cliches and excuses.

eazybee

No.
Cut the Welfare Bill.

Agreed. 40% of people pay no income tax at all and many of those are claiming.

I say NO to a wealth tax. As house prices have risen particularly in the South East, many 'ordinary' people might be classed as wealthy. I think it would destroy aspiration of any kind. What about those of us who have done without for years, saved hard, not had all the latest gadgets in favour of attempting to guarantee a decent retirement in a nice home? I think it's a fact that 'super wealthy' people will have accountants that find ways to reduce any wealth tax while others end up paying for having been careful and saving hard. I'm much more in favour of a blanket increase in income tax and a more careful look at some of the younger people claiming sickness benefits for things like stress.

MaizieD

I'm up for taxing wealth, but to think it's possible to tax the apparent wealth of the rich is a bit naive because the wealthy carefully distribute their wealth in assets (land and property) which it would be hard to value, in networks of companies in a way which make it difficult to identify just who ultimately benefits from the wealth, in trusts, in offshore accounts, in tax havens and in equities (stocks and shares) which continually vary in value. A prime example of the latter would be Elon Musk who was recently declared to be a trillionaire on the strength of the initial sale of shares in his company, but who is no longer a trillionaire because the share price dropped once trading them started.

All in all, it might cost so much to establish the amount to be taxed, and time, as lengthy appeals to the tax law would inevitably arise. The actual tax take could be quite underwhelming.

While some unhidden wealth could be taxed fairly easily it would be better to concentrate on a progressive tax regime which prevents them acquiring so much in the first place. It was done post WW2 and significantly caused progress to a more equitable distribution of wealth, progress which has, with the implementation of different economic policies, been almost reversed, we could usefully look to the post WW2 policies for ideas.

I appreciate that with the growth of the 'global economy' with foreign corporate bodies sucking so much wealth out of individual nations which they carefully arrange to be taxed in low tax jurisdictions, rather than in the jurisdiction where it is 'earned', this has added a level of complexity, but there is still much that could be done domestically.

Some good ideas and points. But we would have to get rid of a lot of corruption first

I rather think it depends on what qualifies as wealth. I have a 400 year old cottage I bought 40 years ago 2.5 beds large garden and worth probably over £450k, nice area friendly neighbours etc - does that make me wealthy? I really don't want to downsize to a 2 bed on some commuter estate. In terms of available cash yes I have some savings (much of which I do pay tax on) and a pension which is also taxed - I'm comfortable but wouldn't describe myself as wealthy. Why on earth don't we charge companies that operate and profit from trading in the UK pay Corporation tax on those profits? HSBC, Amazon, Facebook, Daily Mail, and any other foreign owned biz?

That's a much better suggestion vintage classics

I agree vintageclassics

However, the big boys are harder to go after, whereas those who are middle income, may have a few investments, mortgage free etc., are easy to target…

Nevertheless they should be pursued!

Aveline

Nevertheless they should be pursued!

Yep, maybe one day 🤷‍♀️, we can only hope…

MOnica

An absolutely brilliant and intelligent comment.
.

Plevey08

As Winston Churchill wisely said -

"You don't make the poor richer by making the rich poorer"

I just cannot understand why many are so dumb as to not understand that simple fact.

ordinarygirl

I'm open but my question is why are people encouraged to earn more money and buy bigger houses if it only to be taxed more?

...and don't forget people from more modest backgrounds, like myself, who just want to earn as much as they can so they can get on and raise a family without expecting the State to do everything for them.

Moii and eazybee,a significant portion of of the " welfare budget" is, of course, the State Pension.
Are you recommending cutting it, and if so, by how much?

GrannyGravy13

Totally depends on the definition of wealth.

Absolutely! BUT define wealth:

A friend has inherited her mother's Berkshire home - a small ex-council home that she and her mother struggled to buy in the 80s. It is however, now worth £350K. The proceeds would actually help her to return to her home town, but she will have to sell it to pay IHT

I have worked and saved hard all of my life, paid enough into pensions and savings to ensure we are afloat in retirement. Paid off our home, which as "London" moves North our home has increased in value. I have lovely friends who made different choices and now have pension credits and their rent paid and they think I am wealthy

The proposed wealth tax would target those with immense wealth. It's not aimed at ordinary people who have built up savings over decades or whose London house has gone up in value and now is worth a million. The middle class has been targeted enough over the last decades. It's always them whose taxes go up because the poor simply can't pay more and the rich have enough political power to prevent taxes on them. The wealth of the rich keeps growing, they keep buying up houses and other assets. This needs to change, otherwise the middle class will end up in poverty and the poor end up dead.

Elon Musk has just become the world's first trillionaire. He's got more money than the poorest half of the whole planet. It is insane. Don't tell me that he deserves it because he's worked harder than 4 billion people combined. The billionaires fund politicial parties, making sure that any law implemented is in their favour. They fund the media, so that ordinary people get bombarded with messages that blame powerless groups like benefits claimants or immigrants for everything that has gone wrong; instead of pointing the finger upwards. There's a rightful outrage about how much the government spends on asylum hotels. But who benefits from them? Not the asylum seeker who wants their claim to be dealt with quickly, instead of being stuck in a room with rationed loo paper for years. Not British people who pay for the subpar accommodation. It's the owners of the hotels who just happen to be rich chums of the political elite, raking in hundreds of millions in profit. If we keep believing their lies and vote for politicians who represent the interest of the rich few instead of 99% of the population, things keep getting worse. We must work together to stop the accumulation of wealth and growing inequality.

Barbadosbelle

Plevey08

As Winston Churchill wisely said -

"You don't make the poor richer by making the rich poorer"

I just cannot understand why many are so dumb as to not understand that simple fact.

Barbadosbelle
This looks like a quote that Churchill never said. It also makes no sense in the context of a wealth tax. We can argue if a wealth tax would be fair/wise/useful or not, but taking money from the rich and giving it to the poor literally makes the rich poorer and the poor richer.

Barbadosbelle

Plevey08

As Winston Churchill wisely said -

"You don't make the poor richer by making the rich poorer"

I just cannot understand why many are so dumb as to not understand that simple fact.

Because so many so called socialists are no more than Champagne Communists expecting the state to do everything

If you keep the poor poor, where are rich people going to get their money from?

Any ideas, anyone?

From other rich people of course

MaizieD

If you keep the poor poor, where are rich people going to get their money from?

Any ideas, anyone?

I imagine the poorest demographic in the U.K. are getting their money via the Government in Universal Credit in it’s entirety or as a top up on their low wages.

Along with working in the grey economy.

The very rich will make money producing goods, renting properties, playing the stock market, buying and selling works of art etc.

I wouldn’t worry about them personally.

David49

Barbadosbelle

Plevey08

As Winston Churchill wisely said -

"You don't make the poor richer by making the rich poorer"

I just cannot understand why many are so dumb as to not understand that simple fact.

Because so many so called socialists are no more than Champagne Communists expecting the state to do everything

Rather a strange and sweeping statement.

As is calling people " dumb"

I'm a champagne socialist. I want everyone to have champagne, not just the fortunate few.
If that means that we have to downgrade to cava for all to be able enjoy, that's fine by me.
I believe, also, in courtesy to all, so I don't feel the need to describe people as dumb because they don't have the same worldview as me .

How come there is such colossal financial inequality in Russia?

Putin is the best person to answer to that question! We all probably have a reasonably good idea why.....

Aveline

From other rich people of course

How does that work, Aveline?