Calling on the coalition to think again

Increase in Capital Gains Tax will cause unnecessary economic harm to investors

Professor Philip Booth, Editorial and Programme Director of the Institute of Economic Affairs is calling on the coalition to think again about raising Capital Gains Tax, he said:

“Capital Gains Tax is a kick in the teeth for those savers who cannot afford to avoid it and for companies that do not load themselves with debt.”

“The evidence suggests that an increase in Capital Gains Tax would raise little revenue and would cause a great deal of economic harm at a time when we cannot afford it. The effects on the private rented market could be devastating.”

“Why anybody should want to tax savings and investment yet further, as we recover from the lowest savings ratio in history, is completely baffling.”

“Raising Capital Gains tax ignores one of the main lessons of the financia