Flat-rate tax

Far from the Budget measures simplifying the tax system, experts seem to agree complexity has increased (Smart Money, 24 March). Perhaps with an eye to future constitutional arrangements, politicians could review the case for “flat-rate” taxation.

An across the board flat rate of, say, 12.5 per cent presumes including national insurance contributions in general taxation. As one expert points out, immediate advantages are savings on the “costs of collection and compliance”.

Arguably, changing to a flat-rate tax would give the economy a much needed stimulus for growth. Of course, flat-rate simplification means grasping the nettle of abolishing all allowances and loopholes for avoidance.

Ellis Thorpe

Old Chapel Walk

Inverurie, Aberdeenshire