It looks like there is a light at the end of the tunnel as HMRC publishes the latest tax receipt figures for April 2021 to May 2021 totalling £106.8bn, which is £45.4bn higher than in the same period last year
The receipts for income tax, capital gains tax, National Insurance contributions (NIC) and apprenticeship levy are at £59.9bn, which is an increase of £13.4bn from the same period in 2020, again this figure comes from the protection provided by the furlough scheme which allowed companies to keep staff in employment although they were not working.
Early estimates for April in HMRC’s published statistics on earnings and employment show the number of paid employees fell by 0.9%, while median monthly pay increased by 9.8% compared with last year. This pay growth suggests the idea that the loss of jobs and lack of job growth is at the lower end of the income distribution where average PAYE tax rates are lower.
