Dale Vince OBE, founder of Ecotricity, writes for the Mirror after a new Oxfam report revealed the wealth of the UK’s super-rich soared £11bn in a year while 1 in 5 Brits live in poverty
We need tax justice.
Just over 50 Britons have more money than almost half the entire country put together – that’s the shocking gist of the new report out today from Oxfam.
Tens of millions of Britons live in energy or food or housing poverty – or all three. This isn’t just a crimp on their life experiences, or a big impediment to the life chances of their children – it’s a major crimp on our economy. Poverty drives up social security, policing and NHS costs, but above all else it holds our economy back – by holding back our people.
READ MORE: Record January spike in house prices after ‘Boxing Day bounce’READ MORE: Wealth of UK super-rich soars £11 BILLION in year as one in five live in poverty
It doesn’t have to be this way, there is no shortage of money in our country it’s just unevenly shared. And the hyper wealthy don’t outperform the ultra poor by so very much as to justify the stunning wealth gap we have.
Our tax system is the problem. We tax people with a job, people that make money with a pair of hands – at nearly twice the rate that we tax people that make money with money. We have income tax for working people, often the least well off among us – and we have Capital Gains tax for those with enough money to earn more money with.
We should treat all income the same and tax it all the same. Equalising income tax and capital gains tax would raise around £12bn every year.
We should go further and have a wealth tax. A tiny 2% tax on all wealth above £10m would affect only 20k people – but raise £26 billion every year. Two incredible sums of money with which we can do so much, from filling fiscal potholes to funding the NHS.
Our tax system takes too little from those with far more than they need and takes too much from those that don’t have enough. Our tax rules were written by people with money for people with money – we need to change them. It’s in all of our interests to do so – rich and poor alike. Our tax system shapes the country we live in. I for one want to live in a better country. I’m not alone.
UK’s 10 richest billionaires, based on Forbes data:
1. Michael Platt – hedge fund tycoon and co-founder of BlueCrest Capital Management – £14bn
2. Sir Jim Ratcliffe – chemicals magnate, co-founder of Ineos empire, and part owner of Manchester United – £12.7bn
3. James Dyson – bagless vacuum cleaner inventor and entrepreneur – £10.5bn
4. Simon Reuben – retail, property and technology investor – £9.9bn
5. Nik Storonsky – boss of financial firm Revolut – £9.8bn
6. Lord Anthony Bamford – Chair of JCB who had given millions of pounds to the Tories but recently donated to Reform UK – £8.5bn
7. Christopher Hohn – hedge fund manager – £6.8bn
8. Denise Coates – publicity-shy boss of gambling empire Bet365 – £5.8bn
9. Alexander Gerko – financial services – £5.5bn
10. Joe Lewis – born in London’s East End, he became a currency trader and investment he founded owned stakes in property, finance and sports (family trust owns Tottenham Hotspur football club) – £5.2bn.
