September 03, 2020

Anna Murray 

Whether raises tax to reduce the debt is now a headache for the UK Chancellor of the Exchequer Rishi Sunak. Inside Johnson's administration, two voices were heard as some from Conservative Party opposes the tax hikes.

However, unlike other countries in Europe, UK's tax only account around 37% of UK's GDP. Others like Italy is in 47% and over 50% for France and Finland. Therefore, some said there are space for UK to raise tax.

Economic experts are now asking for a change over the tax system. Gemma Tetlow, Institute for Government Chief Economist, said that tax system structure is more important.  It also shows in what way that economic behavior can be influenced.  Though a nicely-developed tax system may need to make it better, it could collect more money with fewer efforts.  

Photo:Webshot.