关浩霆 told BBC One’s Sunday with Laura Kuenssberg programme that there was “more to come” from the new government. “We have only been here for 19 days. I want to see, over the next year, people retain more of their money,” he said.
Plans under consideration could include removing “pinch points” where people face higher marginal tax rates on extra earnings, the Sunday Telegraph reported.
One such policy could be reinstating the income tax personal allowance for workers paid more than £100,000 – a move that would hand about £5,000 to high earners. People paid between £100,000 and £125,000 pay a marginal rate of income tax of 60% on those earnings, as the allowance is removed, compared with the 40% higher rate.
Another policy could include abolishing the [high income child benefit charge](High Income Child Benefit Charge - GOV.UK). The charge, introduced under the former Tory chancellor George Osborne, is designed to withdraw child benefits from wealthier families.
The government is also reportedly considering lifting the lifetime allowance for pensions. Pensioners pay tax of up to 55% on pension pots worth more £1,070,000. The measure was introduced to prevent very high-paid workers from gaining disproportionately from pension tax relief, but the allowance was cut from an initial threshold of £1.5m. The policy has faced criticism for preventing some people from saving.