"The top 1% pay 29/30% of all UK income tax".
Income tax raised £302.8 billion in 2024-25. Total government receipts exceeded £1.13 trillion. Income tax is approximately 27% of total government revenue. Not even a third.
29% of £302.8 billion is approximately £87.8 billion. That is under 8% of total government revenue. The top 1%'s contribution looks large only because it is measured against one tax, the most progressive one, in isolation from everything else.
Now look at the taxes this framing excludes.
VAT raised £171 billion. Everyone pays it at the same 20% rate. The ONS found that, measured as a proportion of disposable income, VAT takes a significantly higher share from the poorest households than from the richest. In the most recent detailed breakdown, VAT accounted for 12.8% of disposable income for the bottom fifth and 7.3% for the top fifth. A cleaner and a hedge fund manager pay the same rate of VAT on everything they buy.
National Insurance raised £172.5 billion. It is capped: employees pay 8% on earnings between £12,570 and £50,270, then only 2% above that. Run the numbers. A worker on £30,000 pays an effective NI rate of 4.65%. A worker on £500,000 pays 2.40%. The lower earner pays nearly double the effective rate. This is regressive by design.
Council tax: the ONS found that the bottom fifth of households pay approximately 6% of gross income in council tax. The top fifth pay approximately 2%. Based on property valuations from 1991, unrevalued for over 30 years in England. Regressive.
Fuel duty: £24.4 billion. Flat rate. Same for everyone regardless of income.
Tobacco and alcohol duties: flat rate, disproportionately paid by lower-income households.
When all taxes are included, the system is far less progressive than income tax alone suggests. The poorest households pay a substantially higher proportion of their income in indirect and flat-rate taxes. For the richest households, VAT, council tax, and fuel duty are a rounding error on their income.
The framing "the top 1% pay 30% of tax" selects the quarter of the tax system where the rich contribute the most, ignores the three quarters where they contribute the least relative to income, and presents the result as the whole picture. It is not a fact. It is a framing device designed to make a political argument about who "deserves" to be politically heard and respected. That is why @GlassJet is right to call out this BOLLOCKS and where they lead.
Sources :
HMRC tax receipts 2024-25 (income tax £302.8bn, VAT £171bn, NI £172.5bn):
https://t.co/nqIQ2dZEUm
ONS Effects of Taxes and Benefits FYE 2024 (VAT as % of income by quintile, council tax by quintile):
https://t.co/wL1nI8fKxY
House of Commons Library tax statistics overview:
https://t.co/vG4LKObXpF
The legendary Gary Mabbutt is continuing to check in on our elderly fans with regular phone calls on their birthdays. Today he’s made his 20,000 call in the last six years.
Incredible work, Mabbsy 🤍
Hilarious that the right is doing their usual “yeah well young people are stupid and have no life experience” when the “young people” in question are everyone under 65 years old.
Jamie Raskin, "They only want to protect free speech that they agree with"
JR then demolishes Farage, ending with
"You might want to think twice before you let Nigel Farage Make Britain Great Again"