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The Rich Deny Themselves

Monday, 24th October 2011

There's plenty of good sense in Neil O'Brien's article on the "squeezed middle" in today's Telegraph but this snippet helps explain a good deal of what's baffling about British politics:

In fact, a recent YouGov poll for Policy Exchange found that eight out of 10 people believe they are in the middle 40 per cent of earners. Only 2 per cent of people believe they are in the top 30 per cent.
There are many ways of looking at it but among them is this: most people who pay anything up to £30,000 a year for their children to be educated do not think they're amongst the wealthiest 30% of British earners. This is many things - astonishing, perhaps even grotesque - but it's another reminder that, politically-speaking, the Tory obsession with how much income tax should be paid by people earning more than £150,000 a year is deaf and blind and dumb and much else besides.

The rich are deluded about their own status, assuming that everyone else must be doing as well as they do. Within their peer group this creates certain lifestyle pressures that can make their lives awkward but these are matters or problems of choice not necessity.


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Rhoda Klapp

October 24th, 2011 4:20pm Report this comment

O'Brien's artial has a lot of whinging in it. It fails, in a way I find incomprehensible for a think-tank, to acknowledge that the reason the 'middle' is squeezed is that those people have the pockets which are easiest to pick. They in fact control most of the disposable money. They can be hit by PAYE, by increased charges, by increased prices. They have nowhere to go and no way out. Those conditions do not apply to the rich. You can't get their money so easily. So, the poor have nowt, the rich can't be caught. Who do you think is going to be the cash cow for every stupid bit of government spending, subsidy, preference, indulgence and inefficiency? The way out, indofar as it works at all, is for the bloody government to stop spending money. To treat money taken with menaces from the taxpayer with the respect it deserves, not piss it all away buying votes and triangulating positions. How can any think tank talk about this sort of thing and not mention that? Because it is policy exchange, informed by Yougov, and honesty and straightforwardness are anathema to it.

Ian Walker

October 24th, 2011 5:07pm Report this comment

Sigh. I'll keep repeating this comment while you journos keep pedalling this socialist lie.

Income is not wealth. High income is not "rich"

and I'll go to bed at noon

October 24th, 2011 5:52pm Report this comment

@Ian Walker

So, someone who earns £200,000 a year and spends £195k of it shouldn't be considered rich because they only have a few grand left over? What planet are you living on?

Steve

October 24th, 2011 5:59pm Report this comment

Labour raised taxes too high for the highest earners. This has been very damaging for the British economy and Cameron won't change it for fear of retoxifying the Tory brand. A lower tax rate would be fairer and bring in more tax revenue. Massie's 'analysis' is largely smoke and mirrors.

JohnBUK

October 24th, 2011 7:10pm Report this comment

Alex, "There are many ways of looking at it but among them is this: most people who pay anything up to £30,000 a year for their children to be educated do not think they're amongst the wealthiest 30% of British earners."
What planet are you on? Having been taxed to pay for crap education the "rich" then, to protect their children, pay for private education. I bet they also pay for private health as well! Isn't it about time we didn't assume that taxation is good and everyone should pay? I'll pay for value and object to paying for crap.
I speak as someone who did not send his three children to private school but paid for their university courses.
Whether or not people are wealthy the debate should be about value for money given we have no choice about paying tax.

Baron

October 24th, 2011 9:30pm Report this comment

The sleepy one would of course object, Ian Walker though makes a valid point, in fact, the most valid point, accumulated wealth is what cuts the society between those who have, those who haven’t, the middle class earners who pay £30,000 to educate a child may indeed have little left, do it because it’s the only way to ensure the kid avoids the bog standard comp, doesn’t join the dependant crowd that sucks the taxpayer dry, instead of recognising it, the pseudo-liberal nutters are doing everything they can to prevent the squeezed middle paying for an education that ultimately benefits everyone.

Yow Min Lye

October 24th, 2011 9:49pm Report this comment

If the "rich" in Britain are "deluded about their status", then - it has to be said - so are the "poor".

After all, one of the reasons that so many Africans are desperate to come to the West is that they don't have Child Benefit, Disability Living Allowance or subsidised public housing in Congo and Darfur... or food, for that matter.

Sir Graphus

October 24th, 2011 10:11pm Report this comment

It's the "squeezed" bit that we all identify with.

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