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Tories draw plans to merge income tax & national insurance

Tories draw plans to merge income tax & national insurance

Income tax and national insurance will be merged in what will be a central element of the Conservatives' election manifesto, according to reports.

The Times reported that chancellor George Osborne (pictured) came ‘within a whisker’ of announcing the plan in the Budget and is looking at the policy again ahead of next year’s general election.

Under the merger basic rate income tax payers would pay 32%, compared to 20% income tax today, and higher rate taxpayers would pay 52%, up from 40%.

The paper said the party was actively considering the move, but had concerns that merging two computer systems could create an IT disaster.

The move would simplify the tax system, but there are also fears that the party would appear to be increasing taxes, The Times reported.

Income tax generated £152 billion for the chancellor last year, while national insurance raised £104.5 billion.

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Profile: The opportunity set that attracted Brett Williams to wealth management

Profile: The opportunity set that attracted Brett Williams to wealth management

Brett Williams is best known for helping to build some of the biggest platforms in the IFA market.He made the move over to wealth management to head SEI’s UK business earlier this year in the belief that this is where the best opportunities now lie.

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