Private wealth taxes 'to rise after election'

Those with high levels of private wealth can expect their personal taxes to rise after the general election.

The Financial Times reports experts believe all three main political parties will be forced to announce further tax increases if they win the election, as they have only revealed ’a fraction’ of the spending cuts that will be needed to reduce the UK’s budget deficit.

Senior tax partner for Grant Thornton said changes to income tax, VAT and National Insurance - the government’s three largest revenue streams - would do the ’heavy lifting’ when it comes to bringing in finance to narrow the fiscal gap.

According to the news source, VAT could rise to 20 per cent and there may be a jump in National Insurance contributions, meaning those on high salaries might see the rate climb to three per cent.

The start of April brought the introduction of the new 50 per cent tax for those earning over £150,000 and the Financial Times recently stated offshore private banking services can help minimise the impact of the new charge.ADNFCR-2318-ID-19759242-ADNFCR