2009 Pre-Budget Report

In the end and despite great anticipation the PBR is already known primarily for what it didn’t mention.  Of course the expected and well publicised super tax on banks and bankers has been introduced, but already this is being shown to be more the hot air of political manoeuvring rather than any real attempt to shore up the Treasury’s coffers.

The real damage to taxpayers actually came earlier in the year with the planned introduction of a 50% income tax rate and the undermining of pension saving and investment.  The anger at these measures has clearly yet to subside, and perhaps never will.  Taken on top of the previous attack on non-domiciled taxpayers, the tax pill has become increasingly difficult to swallow, and we have already seen a number of individuals and employers simply leave or plan to leave the UK.

The majority of us are not in this position though, and so for taxpayers, the need to have their affairs in order is perhaps greater than it has been for a generation.  Taxpayers should be talking to their advisors to plug areas of tax leakage, to deal with inefficient investment and the like.  Inaction now is likely to lead to genuine and significant financial loss in the future.

At Mercury we provide innovative solutions to the growing tax problem and are always happy to meet with taxpayers and their advisors.