Majority back tax rises for all but the poorest

THE MAJORITY of people support a small rise in income tax for everyone but the least well off if taxes have to rise to pay for the coronavirus crisis, according to new research.

Polling by the Demos think tank suggested 58 per cent of the public would back increasing income tax for everyone by 2p in the pound, while raising the personal allowance to £ 20,000.

However, it found that a 1p in the pound rise for everyone would be less popular, with just 37 per cent of those surveyed supporting it.

Some 69 per cent of people would support raising income tax on earnings over £ 100,000 per year by 10p in the pound, according to the polling.

Demos polled a nationally representative sample of 2,008 UK adults last month and compiled the findings in its report – A People’s Budget: how the public would raise taxes.

Other tax measures which proved popular include applying VAT to private school fees, and a 10 per cent tax on wealth over £ 2m, excluding main homes and pension funds.

But the public were said to be less supportive of an increase in the main rate of VAT.

Ben Glover, inset, deputy research director at Demos and coauthor of the report, said: “Tax rises in the medium to long term are inevitable.

“Not only do we face a significantly larger national debt due to Covid- 19, but an ageing population means the increasing cost of our public services will need to be paid for. This presents a pressing challenge for the Chancellor as we move forward.”