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City A.M. panel blasts CGT rise

Steve Dinneen
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OUR panel of City opinion-formers has slammed the government’s proposed hike in capital gains tax.

More than 65 per cent of voters disagreed with the planned tax, compared with just 34 per cent in favour of it.

Predictably, Tory voters were most vehemently opposed, with 71 per cent saying they “somewhat disagree” or “strongly disagree” with the rise. Traditional Labour voters were split 50-50 on the proposed tax.

David Cameron’s pledge that there will be “generous allowances” for entrepreneurs went down better with the panel, with 55 per cent agreeing this lessens the undesirable impact of the tax. Our panel was firmly behind calls to taper relief to be introduced on CGT, meaning the tax rate falls over the period an asset is held, with 84 per cent agreeing, including 91 per cent of Tories.

Liberal Democrat MP David Laws did not fare well with our voters, with 64 per cent saying he should have resigned over his expenses scandal. But 53 per cent think his replacement Danny Alexander will be less effective.