Key workers could see pay freeze due to COVID-19 crisis
Miles Dean, Head of International Tax, comments in relation to the news that the Treasury is considering freezing public sector pay, increasing income tax and ending the triple lock on state pensions in order to pay for the COVID-19 crisis, in HR Review.
Miles’ comments were published in HR Review, 13 May 2020, and can be found here.
“Following the news that the Treasury is considering freeze public sector pay, increase income tax and end the triple lock on state pensions in order to pay for the COVID-19 crisis, unions and tax experts have spoken out calling this move as “immoral” as key workers will be negatively impacted by these moves.
An official document outlining the possible steps the Government may take to cover the cost of the fallout from COVID-19 has emerged. This has left the Government in a challenging situation not to break one of Prime Ministers, Boris Johnson election promises to freeze income tax, VAT or national insurance over the next five years…
Miles Dean, head of international tax at Andersen Tax UK said:
“With large numbers of the population now, or soon to be, on their financial knees, the Government’s plans to prolong lockdown and extend the furlough regime until the end of October, is bad enough. The idea that there will be imminent tax rises to fund the economic consequences of lockdown is not a welcome prospect and one hopes the Government’s plans in this regard are better than their response to the pandemic.””