By Accountable Care Journal-
What if we replaced inheritance tax and stamp duty with capital gains on primary residences, deferrable until death? - Mark Essex, Director of Public Policy for KPMG
Our tax system encourages investments in homes, rather than capital and R&D, creating a vicious circle that contributes to the UK’s low productivity; while the way we fund social care penalises those unlucky enough to suffer from long-term conditions and their families. Mark Essex presents an elegant solution that could improve housing affordability, infrastructure investment, economic productivity and our social care system.
Mark says: "The UK’s approach to business investment, demographics, housing market and its system of social care; are suffering from long-term, structural problems. And these are becoming ever more acute – threatening to make our country a less competitive, less productive and less fair place.
"But, we have the levers to address these challenges, shifting the dynamics to transform our downward spiral into a virtuous circle. We are proposing a mechanism to pull on those levers."
Identifying the underlying problems of unaffordable housing, low business investment, inequitable social care funding, low productivity and slow growth in the UK, this chapter presents a new approach to the addressing these issues.
To find out more, click here.