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UK Tax Policy: The Labour Party is going down

Posted May 6, 2008

“Why is Labour going down? U.K. political experts are pointing to Labour’s high tax policies. These sky-high taxes have driven British corporations to business tax havens in nearby Ireland and Switzerland. Also, individual citizens who can afford it have picked up and moved their residence to Monaco or Andorra.” — Bob Bauman

by Bob Bauman

Baltimore — (TFN): Last week, the faltering British Labour Party suffered its worst defeat in 40 years in local council elections nationwide. They even lost the mayor’s office in London. That’s the first time in half a century.

Indeed, after 10 years in power, it looks as if PM Gordon Brown’s “New Labour” has gotten very old. And this past week’s defeat could mean a resounding victory for the Conservative Party during parliamentary elections in 2010.

Why is Labour going down? U.K. political experts are pointing to Labour’s high tax policies. These sky-high taxes have driven British corporations to business tax havens in nearby Ireland and Switzerland. Also, individual citizens who can afford it have picked up and moved their residence to Monaco or Andorra.

Labour also just slapped a US$60,000 annual tax on “non domicile” foreigners living in the U.K. - a radical reversal of their long-standing tax-free status.

The Labour party has aimed their high tax attack squarely at Brits’ offshore investments, banking, trusts and asset protection plans. U.K. banks have been forced to reveal accounts of all U.K. residents with offshore financial activity.

Tax collectors have also been hounding those named. Indeed, her Majesty’s Customs and Revenue (aping the U.S. IRS), now seems to assume that any Brit with offshore financial activity is evading taxes. Read on to learn when and where to put your money.

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Posted by Bob Bauman · Filed Under Politics 

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