Proof perfect that higher income tax rates would be just too, too, much

It’s possible to argue against higher income tax rates purely on equity grounds. Why should the Lanyards have even more of our money to micturate as they please? It’s possible to argue against upon empirical grounds. The Laffer Curve peaks at perhaps 54% with taxes upon income, therefore 48p income tax - as Scotland just showed - reduces revenue. It’s also possible to take this complaint seriously:

Graduates pay back what they earn above the repayment threshold at a rate of 9%.

Which is described as:

It says many middle-income graduates "see less than half of any hard-earned pay rise due to a combination of income tax, national insurance and student loan repayments".

It adds: "We are united in the belief that the current repayment framework requires urgent review... to ensure it is fair, sustainable, and supportive of aspiration."

OK, so a substantial income tax rise is unfair, unsustainable and unsupportive of aspiration. Glad we’ve that sorted.

This does leave open still the question of how to pay for university and our answer there is have less of it. This may or may not work for others as a solution.

But we do still have it from the horses’ mouth:

More than 120 MPs and peers have asked the chancellor to carry out an "urgent review" of the student loan repayment system.

More tax upon incomes is contraindicated. Which is, as we say, nice to have settled.

Tim Worstall