It’s really basic stuff but it still manages to avoid the majority of the political class. If you increase taxes, you stifle economic growth;
The 50p higher rate of income tax is “damaging the economy” and delaying the recovery from recession, more than 500 entrepreneurs and business owners warn today. The bosses of small and medium sized firms across the country say the levy has meant they have not expanded their firms and taken on more workers. They accuse George Osborne, the Chancellor, of putting “populist politics before sound economics”. Calling for it to be scrapped, they add that the ongoing imposition of the 50p higher rate of tax has left “wealth creators” in a “very awkward position”.
At the moment,the political left is seeking to stifle economic growth – after all, were the UK economy to impr0ve that would give Labour huge problems in getting back into power. So they support higher taxes, in the name of fairness. They think it right that the State can grab 50% of your income. They think it right to impose draconian employment legislation on private business.Then they wonder why there are so few jobs being created.