Debt solutions could be complemented by fairer tax system
Debt solutions could be complemented by fairer tax system
- Thursday, 17 December 2009Consumers contemplating
debt solutions could benefit from a progressive tax system that aims to distribute wealth more equally.
According to the political pressure group Compass, simple changes to the tax system would relieve some of the pressure being placed on low-income households.
This, in turn, could make living with debt more manageable for many consumers.
Joe Cox, who organises campaigns for the body, highlighted fiscal initiatives that would allow for the burden of taxation to be shared in a fairer way that might result in less people being forced to require
debt solutions.
He proposed: "To make the tax system more progressive we could reintroduce the ten per cent income tax rate, introduce a 50 per cent tax for income over £100,000, introduce a higher council tax band and clamp down on tax avoidance."
Mr Cox was speaking after a report from the New Economic Foundation revealed that the distribution of wealth has skewed further in favour of the rich over recent years.
In the past decade, the ratio of pay for chief executives compared to typical employees has risen from 47 to one to 128 to one, according to the A Bit Rich publication.

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