Government accused of "stealth tax"

The Government’s top tax rate could affect workers earning as little as £44,000 and bring 70,000 more Britons into the highest income bracket, the Daily Mail reports.

Chancellor Alistair Darling is expected to freeze personal allowances for tax payers in his pre-Budget report, while the threshold for higher rate income tax is expected not to be changed.

The Mail reports that workers who earn about £43,000 and earn pay rises will then fall into the top tax bracket.

Mike Warburton, senior tax partner at accountants Grant Thornton, said the tax burden would fall on those with middle incomes.

"It is not so much about bankers and their bonuses because their earnings are far above the level that they worry too much about the personal allowance. It is about people on middle incomes, doing jobs such as middle managers, who will be affected,” he said.

Read the full story: Return of Gordon Brown's stealth tax as 'thousands more face 40% increase'