Raising taxes could be a costly mistake
Sir, - The SNP appears to be set on raising income tax in Scotland as part of a move to keep the support of the ultra left Green Party.
Nearly 30% of income tax revenue raised in the UK already comes from the top 1% of earners and there is very strong evidence demonstrated by the Laffer curve, a recognised economic algorithm, that raising tax rates actually has a detrimental effect on revenues.
At a time when Scotland is desperate to attract all sorts of businesses and skilled professionals it is sheer economic lunacy to make Scotland by far the heaviest taxed part of the UK in terms of property and income taxes.
Recent reports from the Office of National Statistics show that retail sales are headed for their first annual decline in four years as consumers continue to feel the squeeze from rising inflation. Meanwhile, disposable income is reducing. The SNP proposed income tax rises, on mainly middle income families, on the back of already higher rates than the rest of the UK and recent substantial council tax increases will seriously affect families’ spending ability and place increased pressures on High Street shops which will begin to close putting people out of work.
The fact is that the SNP can only cling on to power, salaries, expenses and pensions with the support of the Greens, who have got them under their thumbs.
Where would any of them get a job with the aforementioned benefits they currently enjoy? Donald Lewis. Beech Hill, Gifford.
Is Patrick Harvie holding an ace card at Holyrood?