Am I a working person? That is a question that has suddenly sprung into prominence because the Labour Government apparently believes that anyone who isn’t is fair game to be soaked by high taxes so as to reduce their wealth in the interest of social equality.
Already there are capital gains taxes which are likely to be increased in tomorrow’s Budget and Inheritance Tax is already at 40% if you want to pass wealth on to your offspring. Admittedly there are a number of ways to avoid or reduce these taxes if you take expensive legal advice. But it is simply wrong to characterise those with personal wealth as those who have not or do not work for it.
If you take my personal wealth I am a multimillionaire but I did not inherit anything from my parents or anyone else. I have gradually built up my wealth from judicious investment in the stock market out of earnings and after founding a small software company 40 years ago which was subsequently sold.
I have had to spend a lot of time keeping track of my stock market investments and managing my portfolios even though I had to retire from a proper job at the age of 50 on health grounds.
I object to being viewed as a capitalist who has not “earned” my wealth. That is a gross distortion of the facts. I have worked hard at growing and keeping my wealth and staying up to date on financial matters. A lot of my expenses to do so are not tax deductible and certainly not the many hours I spend most days in following the financial news.
I am also sure that many buy-to-let investors feel the same way (I am not one of them). They have to keep up with the ever-tougher regulation of that sector and it’s not even a very profitable investment of late. Similarly those who have tried to make a living out of farming, when few manage to do so, or running a small business which may no longer qualify for IHT relief. They are “workers” in my view.
The Labour Party is as usual pursuing the politics of envy to keep their supporters happy. They blame us capitalists for their own woes when in reality they could have done what I have done. They have been lazy or never learned the financial skills needed to make a success of their lives.
They think the world owes them a living when it does not!
Roger Lawson (Twitter: https://twitter.com/RogerWLawson )
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