Oddbean new post about login | logout Removing the VAT exemption from financial services could raise £8.7 billion in tax a year https://www.taxresearch.org.uk/Blog/2023/09/07/removing-the-vat-exemption-from-financial-services-could-raise-8-7-billion-in-tax-a-year/ Taxing wealth more is not just about the obvious tax changes, long talked about. It is also about removing the structural bias to subsidise wealth in the tax system. Removing the VAT subsidy on financial services is one way to do that.
@b6548392 Almost every aspect of the UK tax system favours the wealthy - O suspect the most effective way to present improvements to the system is precisely as 'making tax fair' - rather than approaches such as 'we need the money for services' (which is not strictly true - tax is only needed if services create inflationary pressures - they may not if, say, spending on health, education, etc, enhance productivity).