Institute for Fiscal Studies

NEW: “The combination of big tax cuts and implied benefit increases without any identified source of funding is not fiscally credible.” – @fiscalphillips 📗 Read our full initial response to Reform UK’s Scottish manifesto here: ifs.org.uk/articles/initi…

🚨New @theIFS analysis of Reform UK's Scottish manifesto. Big tax cuts and implied benefit increases are not fiscally credible. And the analysis of the potential revenue effects of the headline income tax cuts is unserious at best. Read here ⬇️⬇️ ifs.org.uk/articles/initi…

This is the top-line and bottom-line on Reform UK's Scottish manifesto. Scotland can have lower taxes - if spending is cut. It CANNOT have lower taxes and higher spending. And parties need to properly cost their proposals - a big shortcoming in yesterday's manifesto.

Reform UK’s proposed cuts to income tax would benefit high-income taxpayers the most. A full-time NLW worker earning £24,785 would save at most £80 a year from the initial plans. Savings would be £1,900 a year for those earning £50,000 and £6,400 for those earning £125,000.

@StuartAdam_IFS @fiscalphillips There is an opportunity for the Welsh Government to build on council tax revaluation with wider property tax reform. 📗Read our full Welsh election 2026 report, funded by @NuffieldFound, here: ifs.org.uk/publications/w…

@StuartAdam_IFS @fiscalphillips The Welsh Government has left devolved income tax rates unchanged – but is set to see a net boost to funding of £360 million in 2026-27 This largely reflects freezes in UK government tax thresholds – and could go into reverse if those thresholds are increased in future.

NEW: The Welsh Government should be commended for leading on council tax revaluation. But in other areas it has chosen to mirror England’s ill-advised tax policies. 📊 @StuartAdam_IFS, @fiscalphillips, Jed Michael and Tom Wernham’s new report examines Welsh tax & benefits: [🧵]

🚨Time to put on my other work 🎩 Myself and @theIFS #TaxDev colleagues have supported Ethiopia's Ministry of Finance with tax incentive reform. Read @Edris_Seid1's, Ben Waltmann's and Mulay Weldu's explainer on the changes implemented: taxdev.org/ethiopias-new-…

My @theIFS colleague @StuartAdam_IFS & I have done lots of work on property taxes. Our scorecard for Scotland unfortunately isn't glowing. 🏡Council tax needs genuine revaluation & reform. 💷LBTT increases means its increasingly damaging. 🛍️Business rates increasingly complex.

The next Scottish Government, whoever that is, should develop a proper strategy for tax reform – starting with property taxation. Read our full Scottish election report, funded by @NuffieldFound and @RobertsonTrust, here: ifs.org.uk/publications/s…

3. Scotland has re-introduced lower business rates for low-to-middle value retail, leisure and hospitality properties – after abolishing these ‘reliefs’ post-Covid. Higher demand means landlords likely to capture much of the benefit in higher rents.

Thread 2 on our NEW report on Scottish tax and benefit policy. Property tax reform is sorely needed in Scotland – for fairness and efficiency. 1. Like in England, council tax is out-of-date, regressive, and inefficient [THREAD]

@StuartAdam_IFS @fiscalphillips “The Scottish and UK governments should work together to ensure that support for low-income households does not continue to create unfair and inefficient cliff-edges.” 📗 Read our Scottish election report, funded by @NuffieldFound & @RobertsonTrust, here: ifs.org.uk/publications/s…

@StuartAdam_IFS @fiscalphillips After an initial spike in successful applications for Scotland’s devolved ‘adult disability payment’, application success rates have now fallen significantly (from 55% to 35%). There is no published analysis yet of why this is: an important evidence gap to address.

NEW: Scotland’s devolved tax and benefit system is more progressive than the rest of Great Britain’s, but is unnecessarily complex and distortionary. 📊 @StuartAdam_IFS, @fiscalphillips, Jed Michael and Tom Wernham’s new report examines Scotland’s tax and benefit system [THREAD]