TAXPAYERS IN LONDON and its surrounding commuter belt are paying around £52bn into the public purse annually, according to research by UHY Hacker Young.
Workers in the south east contribute double the UK average the top 20 firm found after dividing up British towns according to the average bill of each taxpayer. The result showed 28 of the top 30 areas are towns in Home Counties.
Taxpayers in those 30 areas contribute £9,463 on average every year, while those from Elmbridge in Surrey paid an average of £16,600 – the most in any district in the country and three times the UK’s £4,985 average.
Cumulatively, the area’s 73,000 populace paid more than £1.2bn. Elmbridge was closely followed by south Buckinghamshire, where 40,000 workers paid £540m in income tax, representing around £13,600 each.
UHY Hacker Young head of private client services Mark Giddens said: “The government is increasingly reliant on the wealthiest parts of the south eastern commuter belt and London for income.”
“The government has gradually increased the tax burden on high earners since the credit crunch. Higher taxation of wealthy individuals in the south east has proven to be an effective means to boost tax receipts, but these numbers will not make for pleasant reading for those affected.”
HMRC has outlined a change in VAT policy to the treatment of dwellings that have been formed from either the construction of new buildings, or from the conversion of non-residential buildings
Let us hope that valuable asset protection vehicles are not made prohibitively burdensome or abolished in the desire to “simplify” IHT
The government is pressing ahead with changes to the way it taxes individuals with a foreign domicile
I will feel slightly awkward when I write to the client who is about to receive a large invoice from the PAYE expert, offering him the fee protection going forward