Scrap 50p tax rate, business leaders say
The 50p higher rate of tax should be scrapped, more than 500 entrepreneurs and business owners have warned.
In a letter to the Daily Telegraph, the group said it was reducing government income and harming the economy.
The business leaders, who are calling on the chancellor, George Osborne, to abandon the "folly" of the 50p rate in the upcoming Budget, said the levy has stopped them from expanding and taking on more staff.
Mr Osborne has said the 50p rate could be scrapped and has asked the Inland Revenue to see how much money the rate is actually making.
In the letter, the 537 businessmen say: "Given the current state of the UK economy, we urge the Chancellor to urgently consider scrapping the top rate of tax in his forthcoming budget."
"The tax, which is in effect a 58p tax after national insurance is taken into account, puts wealth creators like us in a very awkward position ... penalising high earners through an unfair, politically motivated tax puts populist politics before sound economics."