Income tax hits £264bn under the Tories

Analysis of HMRC data shows that income tax revenues have increased by more than 70% under successive Conservative administrations, hitting £264bn. Then-Chancellor Rishi Sunak froze a number of tax bands in 2021 and since the policy was enacted, income tax receipts have jumped by £49bn. Since 2010, when the Tories took power via a coalition with the Liberal Democrats, income tax receipts have risen by £113bn, or 76%. The Times’ Jack Barnett says that while the rise has been driven by a combination of the accumulative effect of inflation, a natural increase in the size of the economy and population growth, “it is also a function of the Conservatives’ fiscal policy choices.” Philip Shaw, chief economist at Investec, comments: “The income tax take has risen materially since 2009/10. However, it is important to put the figures into context. For example, GDP in cash terms has risen by 64% over the same period.”

 

The Times

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