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    Not necessarily Howard. Experience shows that a flatter, lower, simpler tax system generates considerable extra revenues. There has been experience of that in Eastern Europe.

    As I have said before I would start with a 30p flat rate, with NI merged with Income Tax and employer's NI (renamed employment tax to say what it actually is) down to 10% with a nil rate band of £12,000 (roughly equal to the min wage). Everyone would pay less tax helping the lower paid the most. I would also combine it with dropping tax credits. That rate of tax would just be a step towards pulling it down to 20p over time.

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