Greenpeace is calling for a temporary tax on the super-rich to pay for eco-friendly initiatives such as home insulation, complimentary bus travel and the creation of environmentally sustainable jobs.
An analysis by economist Ben Tippet from King’s College London, commissioned by the environmental organisation, suggests that a "national renewal tax" targeting the wealthiest 0.1% could generate at least £130bn for the Government over five years. The proposed levy would be an annual 2.5% on individual fortunes exceeding £10m throughout the parliamentary term.
According to the report, this sum could fund a raft of actions, starting with the insulation of the UK's 19 million poorly insulated homes and providing winter energy bill assistance for those in need. On the transport front, the funds could be used to subsidise public transport costs, offer free bus rides to under-25s, and introduce a "climate ticket" allowing unlimited train travel across Britain for just £49.
The paper also outlines plans for training programmes enabling 3.2 million workers in high-pollution sectors to transition to green jobs, as well as aiding farmers in adopting agro-ecological practices to bolster the UK’s food security, purify rivers, and promote nature restoration. Greenpeace argues that these measures would not only stimulate the economy and bridge social gaps but also significantly reduce greenhouse gas emissions and address the climate emergency.
Greenpeace proposals were unveiled days ahead of the eagerly anticipated address by Chancellor on October 30. The environmental organisation points to the "national renewal tax" that was inspired by guidelines from the Wealth Tax Commission.
According to Greenpeace, such a levy would only impact fewer than 75,000 UK residents but has the potential to add an £130bn to £183bn to the government's coffers, depending on the levels of avoidance and evasion. The lowest estimate accounts for a 42.5% rate of avoidance or evasion, which equates to 1% of the GDP and 3.1% of all taxes collected annually by authorities, as detailed in Greenpeace’s report.
It has been estimated that the richest 1% of people in the emit as much carbon as two-thirds of the global population, while in the UK the richest 0.1% emit 12 times more than the average person. Georgia Whitaker, an eco-campaigner for Greenpeace UK, said: "The oversized carbon footprint of the super-rich is a clear rationale for ensuring that they play an oversized role in fixing the crisis that they have an oversized role in creating. It’s time the UK Government taxed their vast wealth."
She argues that tapping into the immense fortunes of a wealthy minority could fund climate actions benefiting the majority. Millionaire investor Julia Davies said: "Don’t believe the Government when they say the money isn’t there. Because it is. ".
"As someone who would be covered by this tax, I can tell you that if you are fortunate enough to have wealth over £10m you can afford to make this contribution to a better future for Britain and still enjoy a very good lifestyle indeed."
Mr Tippet said: "The case for a new wealth tax has never been stronger. Wealth inequality has been rising for decades. This report sets out a fair, balanced and feasible proposal for a new wealth tax on the super-rich to tackle these issues, backed up by sound economic theory and empirical evidence."
Meanwhile, the Treasury highlighted Ms Reeves' statement during her appearance on Radio 4’s Today programme where she dismissed the idea of a wealth tax. The Chancellor clarified on air: "We’re not going to be bringing in a wealth tax, but there will be a number of difficult decisions around tax and spending and welfare."
You may also like
Molly-Mae Hague offers never before seen glimpse inside £4million Cheshire mansion
Experts say this haunted UK town has the most paranormal activity
Inside UK shopping centre once Europe's largest left with 'hardly any shops open'
8 Books To Read If You Liked Game Of Thrones
Jr NTR Thanks All For Making Devara Super Success: 'Film Holds Special Place IN My Heart'
Jimmy Carter Wanted To Live Long Enough To Fulfil THIS Dream - And He Did It
K'taka HC quashes criminal case against two charged with raising 'Jai Shri Ram' slogans inside mosque
I'm an American trying Greggs for the first time - one item was like eating cat food
Punjab: Bypolls To 4 Assembly Seats To Be Held On November 13
Afghan migrant wanted for murder in EU slipped into UK
Bollywood's dream girl lives a luxury life
Jaishankar, Pak PM shake hands but little hope of thaw; Pak says ball in India's court for bilateral
Important policy change for night-time flyers at major UK airport
US says Indian probe team's visit reflects New Delhi's serious intent
Explosion Reported In Gubbängsvägen, Stockholm: What We Know
Thomas Tuchel comments could spell bad news for Trent Alexander-Arnold with England
Baba Siddique Murder Case: Fugitive Shubham Lonkar Was Taken Into Custody In Salman Khan Residence Firing Case
Illinois: Fire Breaks Out In Elgin, Garage Destroyed On St. Charles Street
Roman Kemp forced to halt The One Show as he makes big announcement
Navi Mumbai: Doctors Successfully Remove 6.8 Kg Pumpkin-Sized Adrenal Tumor From 44-Year-Old Woman At Fortis Hiranandani Hospital, Vashi