Council tax tops table of most hated taxes
43% of Brits name council tax as one of their three most resented taxes
Fuel duty falls from the top spot to third place, and the TV licence fee moves up into second
Over a quarter (26%) of UK taxpayers believe more of their income will go on taxes in 2009 than last year
Brits resent having to pay council tax as one of their three most resented taxes in 2009*, according to new research by Unbiased.co.uk, the professional advice website. Almost half (43%) of UK adults listed this as one of their top three most hated taxes, knocking off fuel duty from the top of the table in 2008. Fuel duty now sits in 3rd place, with 38% of people resenting this.
Following Darling’s VAT cut by 2.5% before Christmas, British resentment towards paying tax on goods and services has softened slightly and fallen by one spot on the most hated table, from 7th in 2008 down to 8th in 2009. Airport taxes did not even make the top ten most hated taxes in 2008, but this year it has leapt into 9th position, with 12% resenting this taxation.
Top ten ‘most hated’ taxes
Position | 2008 | 2009 |
1 | Fuel duty | Council tax |
2 | Council tax | TV licence fee |
3 | TV licence fee | Fuel duty |
4 | Inheritance tax | Inheritance tax |
5 | Car tax/road fund licence | Income tax |
6 | Income tax | Stamp duty on home purchase |
7 | VAT | Car tax/road fund licence |
8 | Stamp duty on home purchase | VAT |
9 | VAT on other tax (e.g. VAT added on import duty) | Airport taxes |
10 | Cigarette/tobacco tax | Cigarette/tobacco tax |
David Elms, chief executive of Unbiased.co.uk comments, “The Government needs to find ways to increase revenue as a result of the economic crisis. Unfortunately this may well mean higher personal tax which puts even more strain on people’s finances at a time when they are trying to make their money stretch further. However, while some taxes are unavoidable, UK adults will pay 10 billion** in unnecessary taxes this year alone, which could be stamped out by better financial planning.”
Unbiased.co.uk’s research also found that a quarter (26%) of UK adults believe more of their income will be paid to the tax man this year compared to last. Of this group, over half (53%) attribute this to the level of taxes going up in general this year and a whopping 73% believe this increase in taxes is unfair.
David Elms continues, “While tax can seem a complex issue, especially in the current environment, people can save hundreds of much needed pounds by ensuring they are being tax efficient and not wasting money unnecessarily. Taxpayer resentment towards compulsory taxes could be offset to an extent by being as tax efficient as possible in other areas of their finances. While many may feel nervous about making the wrong financial decisions at the moment, an independent financial adviser can assess your entire financial position and ensure you are being as tax efficient as possible.”
ENDS
For further information on Unbiased.co.uk, the professional advice website please contact:
David Elms / Richard Winder | Anna Schirmer/Jennifer Comerford/ Anna Moulds |
Unbiased.co.uk | Lansons Communications |
020 7833 3131 | 020 7294 3682 |
For expert comment or case studies from over 200 media-friendly IFAs, journalists should visit www.unbiased.co.uk/bluebook to search online or call Unbiased.co.uk’s Media Services hotline on 020 7294 3682.
* Research conducted online by Opinium Research LLP among a sample of 2,020 UK adults between 11th and 13th February 2009. Data has been weighted to nationally representative criteria.
** TaxAction 2009 report produced for IFA Promotion by RAKM, based on a specially commissioned analysis of Inland Revenue and a range of other official data sources.
Notes to Editors
Unbiased.co.uk, the professional advice website
Unbiased.co.uk is the free and confidential UK-wide search service matching consumers with the most appropriate local professional advisers for their needs. In 2008, Unbiased.co.uk fulfilled over half a million searches for local, professional advice.
The portal currently houses three professional advice searches: ‘find an IFA’, ‘find a mortgage adviser’, and ‘find a solicitor’, and is inviting accountants to sign up for its ‘find an accountant’ service. These searches enable consumers to find relevant professional advisers by postcode, area of specialism and payment method, amongst other options.
IFA Promotion, the organisation behind Unbiased.co.uk, is now in its 20th year, and was set up to promote the benefits of independent financial advice to the consumer.
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Canada Life Ltd | Norwich Union Life |
Cardif Pinnacle | Opinium Research |
The Children’s Mutual | Prudential |
Clerical Medical Investment | Royal London 360 |
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The Hartford | Scottish Widows Plc |
Invesco Perpetual | Standard Life Assurance Company |
Legal & General | Unum |
Lincoln | Zurich Intermediary Group |
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