fb

What’s Napoleon got to do with today’s UK budget?

Most people don’t enjoy paying tax. It’s a difficult balancing act for any government as they need tax revenue to fund certain public services but at the same time they can become unpopular (and hence out of a job!) as a result of excessive personal tax burdens.

Income tax in the UK has been around a long time and its introduction involves their close neighbour, France.

Whilst relationships between the UK and France are very cordial at the moment, this hasn’t always been the case.

Way back in 1798, British forces under the leadership of the Duke of Wellington were at war with Napoleon’s French forces. The cost of the war was weighing heavily on British resources and the national debt was mounting up.

As a result, in 1799 “certain duties upon income” were imposed on a temporary basis with the aim of providing greater “aid and contribution for the prosecution of the war” against Napoleon.

The first rate of UK income tax was 10% and this was applied to the total income of the taxpayer from all sources in excess of £60. Given that the top rate of income tax in the UK is currently 50% I’m sure that some taxpayers would more than welcome the reinstatement of the original rate of 10%!

Interestingly enough though, income tax is still technically a ‘temporary’ tax. It expires each year on 5 April and Parliament has to reapply it by an annual Finance Act.

Share this entry

Recent articles

View All Articles
Professionally qualified in one year – DipIFR
Mar 22, 2024
Title
Professionally qualified in one year – DipIFR
Excerpt

Unlocking Opportunities with DipIFR Introduction In the second installment of our series, we shift our focus to the […]

Professionally qualified in one year – CMA (USA)
Mar 21, 2024
Title
Professionally qualified in one year – CMA (USA)
Excerpt

Accelerate Your Career with CMA Certification Series Introduction In our fast-paced world, the demand for highly skilled professionals […]

Lego – building strategy blocks…
Mar 14, 2024
Title
Lego – building strategy blocks…
Excerpt

In the contemporary business environment, characterised by rapid changes and unforeseen challenges, companies across various industries must adapt […]

Weathering the chocolate storm?
Mar 12, 2024
Title
Weathering the chocolate storm?
Excerpt

In today’s interconnected global economy, the ripple effects of local weather phenomena can have far-reaching consequences, extending far […]

Pass the doughnuts…
Mar 12, 2024
Title
Pass the doughnuts…
Excerpt

Does your weight affect the amount of money you earn? That’s an interesting question and researchers from the […]

The Significance of Audit Quality: Lessons from KPMG’s Fines
Mar 06, 2024
Title
The Significance of Audit Quality: Lessons from KPMG’s Fines
Excerpt

In the intricate world of finance and business, the accuracy and integrity of a company’s financial statements stand […]

Insider Trading: A Cautionary Tale from the Oil Industry
Feb 29, 2024
Title
Insider Trading: A Cautionary Tale from the Oil Industry
Excerpt

In the complex world of finance, insider trading remains one of the most controversial and closely watched issues. […]

Lessons from Kraft Heinz’s Sales Decline
Feb 20, 2024
Title
Lessons from Kraft Heinz’s Sales Decline
Excerpt

In the fast-paced world of business, staying ahead of market trends and consumer preferences is paramount. The recent […]