View more on these topics

Treasury slashes forecast for revenue from 50p tax rate

City minister Lord Myners has revealed that the Treasury has “significantly reduced” its estimate of the revenue the new 50p rate of income tax will bring in.

Speaking in the House of Lords yesterday, Myners suggested that high earners will dodge the tax hit, saying that due to “behavioural consequences” of taxation change, the Government has revised down its expected revenue.

The Treasury had originally forecast that the 50 per cent tax rate for those earning more than £150,000 which is set to come in from April would bring in £1.13bn in revenue for 2010 and £2.5bn in 2011.

Lord Myners did not give a new estimate for expected revenue from the change, but said “we still believe it will be beneficial”.


£9M cost of FSA individual registration on mortgages

The mortgage industry faces a £9.4m bill following FSA proposals to regulate all individuals who advise on or sell mortgages, with annual costs of £1.6m. This week, the FSA published its second mortgage market rev-iew consultation paper, which pro poses individual authorisation for brokers and more onerous arrears-handling rules for lenders. The FSA wants the […]


Portfolio tools could leave IFAs exposed to UK gilt risk

JP Morgan Asset Management head of UK retail sales Mike Parsons has warned that IFA portfolio tools could leave clients overly exposed to UK gilts. Parsons says asset allocation tools do not differentiate clearly between different categories of fixed income, which could leave clients at risk. He says: “A lot of tools say you should […]

Group therapy

Alot of the press coverage of the Investment Management Association concerns the topic of sectors, especially the creation of new sectors or the abolition of small ones that no longer serve a purpose. What is the objective of the IMA categories? There are more than 2,500 UK authorised funds available to buy. Sectors are designed […]

Three catalysts for European equities

By Rob Burnett, Manager of the Neptune European Opportunities Fund In recent weeks, the bear case for European equities has become more pronounced on the back of weaker-than-expected GDP data and deflation concerns. This softening in economic momentum has led some investors to question whether the ECB is behind the curve and indeed whether it […]


News and expert analysis straight to your inbox

Sign up


There are 2 comments at the moment, we would love to hear your opinion too.

  1. This is hardly a surprise and the treasury still does not seem to understand that individuals with the skill set to earn in excess of £150k also have the ability to find ways around the tax charge.

    In the same way that employers will find ways around the new personal accounts, accountants will find ways of remunerating individuals without breaching the £150k threashold.

  2. Margret Thatcher worked out that the more penalistic the top rate of tax, the less money you got in.
    This bunch of incompetents cant even fathom out that borrowing is deferred taxation & will eventually have to be paid back.
    Not that they give a dam

Leave a comment


Why register with Money Marketing ?

Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

News & analysis delivered directly to your inbox
Register today to receive our range of news alerts including daily and weekly briefings

Money Marketing Events
Be the first to hear about our industry leading conferences, awards, roundtables and more.

Research and insight
Take part in and see the results of Money Marketing's flagship investigations into industry trends.

Have your say
Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

Register now

Having problems?

Contact us on +44 (0)20 7292 3712

Lines are open Monday to Friday 9:00am -5.00pm