Ways to Raise: Ten Easy Ways to Boost the Budget

The Government must find ways to raise between £20-40 billion, against the headwinds of low growth, political pressures and rising interest rates. Fiscal ingenuity is therefore essential for delivering on this Government's missions.

This paper proposes ten politically uncostly policies which, combined, would raise around £4.21 billion each year.

The Ten Proposals

1. Remove the Vehicle Excise Duty exemption for vehicles manufactured at least 40 years ago – raising £170m
2. Abolish the empty rates exemption for listed buildings – raising £460m
3. Eliminate the starting rate for savings – raising £400m
4. Remove the pension tax free lump sum entitlement from new contributions and accumulation – raising £10m in year one, rising significantly over time
5. Abolish the Patent Box – raising £1.45 billion
6. Reduce the effective tax relief rate for audio-visual expenditure credits – raising £375m
7. Place sensible limits on employee share schemes – raising £400m
8. Reduce the Capital Gains Tax allowance – raising £125 million
9. Ban large cash transactions – raising £770 million and tackling tax avoidance
10. Enforce foreign companies' disclosure of beneficial ownership – raising £50 million and tackling tax avoidance

Read the full report at the Centre for British Progress