The Daily Telegraph reports on how higher taxes are driving a wave of early retirement, something the recent CPS report ‘Where are the Workers?’ focused on in detail.
Tom Clougherty, CPS Head of Tax, told the newspaper “paying tax on your income makes work less attractive at the margin and makes leisure more attractive because you’re not getting the full financial benefit of the work that you’re doing.”
He goes on to say that “clearly, there will be people who just made that decision and thought ‘I’m working a full week but I’m only keeping half of it after tax, that doesn’t seem like a good deal at this point in my life’.”
Read the article here.
Date Added: Wednesday 29th March 2023