Golden Geese Flee
High earners will cost the public purse hundreds of millions of pounds through tax dodges as they avoid the new 50p rate of income tax, a minister indicated yesterday.
Lord Myners, the City Minister, said that the Treasury had “significantly reduced” its estimate of the revenue to be earned from the historic change.
They are not costing the public purse anything, there is nothing dodgy about their behaviour. They are acting rationally, the public purse never had the money and should never have expected it. I'm sure proper economists have a name for the effect, it is just that the politics of envy pretend it doesn' exist.