Sunday, 24 June 2012

Open Letter on removing benefits for under 25's and selective shaming of tax avoiders

Congratulations on attacking yet another minority whose benefit you can remove to make the rabid right-wing of your party happy.  I'm reminded of the famous Monty Python sketch in which prospective Upper Class Twits of the Year attempt to shoot rabbits tied to the ground and STILL manage to miss!
You say you will save £2 billion a year.  I doubt it.
However if you stopped aiming your moral outrage at comedians who have been nasty to you in the past and focus on the corporations and ultra-rich individuals who have reduced their tax footprint under your captainship of the RSS Great Britain you might recognise these figures:

1% - Income tax rate reportedly available to members of the legal K2 tax scheme used by Jimmy Carr. source Telegraph
98 – Number of FTSE 100 companies operating out of tax havens. Source:  Action Aid
£25bn – Estimated annual cost of tax avoidance, according to 2008 research. £13billion of this is lost to individuals and £12billion to the 700 largest corporations. Source: Tax Research UK and the TUC
10% - Average rate of tax paid by top earners, according to a confidential HMRC study seen by George Osborne. Source: The Telegraph
If you read THIS, Tax Evasion is costing the UK a staggering £69.9 BILLION a year source: New Statesman

I think you can see where I'm going with this.
The economic collapse wasn't due to welfare scroungers. It was wholly and completely caused by bankers and the politicians who failed to regulate them. In the aftermath, the gap between rich and poor has grown wider and the percentage of wealth held by the super-rich 1% in the US, for example, has INCREASED from 25% to 40% in just the past 25 years. They now take home a full QUARTER of all wages in the US. In 1976 it was just 9%.
In the UK, according to this year’s annual Sunday Times Rich List, the wealth of the super-rich in Britain has grown by 4.7 percent, to reach a new high of more than £414 billion.
If you taxed that £414 Billion at just 20% instead of the 10% they're paying at the moment, you'd raise about £83 billion, oddly enough the cost of your austerity package.
Given I've worked all this out in about 30 minutes, why and what are you paying George Osborne FOR?
yours sincerely, John Mangan