R
educing inequality requires higher pay as well as higher taxes.
Owen Jones (23 March 2018) is right to say that wealth should be taxed to address inequality but does not go far enough. As a member of the top 1% by income and assets, I believe I should pay more tax but the reality is that everyone will have to pay more tax at Scandinavian levels to sustain the NHS and a social democratic society. That ought to include taxing gifts and inheritance as income and capital gains tax on all property sales including homes.
Higher taxes, however, will not be enough to counter increasing inequality. The wage share and capital share of wealth need to change. I favour capitalism but the current model is regressive. Socially responsible capitalism requires more regulation and policies designed to encourage companies to spend less on dividends and more on pay.
'Our Common Good' by John Nickson