Brewin Dolphin argues that a blanket cap contradicts Prime Minister David Cameron’s “Big Society” campaign which is aimed at encouraging community spirit. The government should instead concentrate its efforts eradicating tax loopholes, the firm said.
While Cameron has said that wealthy individuals are abusing the system, the pressure on the coalition government is building up from the inside as well as the outside. Several members of the cabinet of both the Conservative Party, the senior coalition partner, and the Liberal Democrats, the junior partner, are reportedly concerned about the tax move.
Since the announcement on Budget Day last month, several charities have publicly stated that the measure could cost them millions of pounds.