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Just a thought

Yes, of course, new speshul rules would be an outrage.

Sue Gray, the senior civil servant who now works as an adviser to Sir Keir, had a pension worth £1.9m as of March 31 last year, according to government accounts.

Meanwhile, Nick Joicey, a senior civil servant and husband of the shadow chancellor Rachel Reeves, had a pension approaching the old limit, worth £967,000, as of March 31 2022.

However, something different. You know how Spud says that pensions tax relief is in fact a tax subsidy, a break?

Under the old rules, any savings over the limit were taxed at 55pc if the money was taken as a lump sum, or 25pc plus the individual’s income tax rate if taken out gradually.

Richer people actually end up paying more tax by having a large pension. Over time they do at lesat. So that’s even more proof that pensions relief isn’t, in fact, a cdost at all. It’s a deferral – leading to higher, over time, tax revenues.

Which rather blows a hole in Spud’s complaint really.

2 thoughts on “Just a thought”

  1. So Sue Gray has been putting away, out of taxed income, two or three times median wages ever since she was first hired.
    What was she doing that was so unique / dangerous / responsible / difficult?
    And can I have some?

  2. Seasy! Before you grant civil serpents advantageous income tax terms you apply a capital assets tax a la spud, so that none of them have pension rights worth over half a million.

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