Dealing with the debt: big tax rises are not the answer right now

Tax rises can’t do much to reduce the two-trillion-pound hole in our public finances. And the economy is too fragile for a tax grab now anyway. So where is the money going to come from? asks Merryn Somerset Webb.

Rishi Sunak and Boris Johnson © TOBY MELVILLE/POOL/AFP via Getty Images
Rishi Sunak: now may not be the time for a big raid on taxes
(Image credit: Rishi Sunak and Boris Johnson ©)

At 07.45 last Saturday morning one of my sisters arrived at Pets At Home in Trowbridge. She’s smart: the next mother arrived at eight; the third at 08.15. When the shop opened at 09:00, my sister got the first choice of the four guinea pigs on offer. The third mother left in tears. Guinea pigs are sold in pairs; her daughter will go without the birthday present she was promised two months ago.

The residents of Wiltshire are not the only ones to have run up against the great pet supply shortage. Last week, our house rabbit died. I cried so much I got a victim support call from the vet followed by a letter of condolence (the UK does have a brilliant service economy). But much as we loved the rabbit it did not immediately occur to me that it would be tricky to replace him. It was.

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Merryn Somerset Webb

Merryn Somerset Webb started her career in Tokyo at public broadcaster NHK before becoming a Japanese equity broker at what was then Warburgs. She went on to work at SBC and UBS without moving from her desk in Kamiyacho (it was the age of mergers).

After five years in Japan she returned to work in the UK at Paribas. This soon became BNP Paribas. Again, no desk move was required. On leaving the City, Merryn helped The Week magazine with its City pages before becoming the launch editor of MoneyWeek in 2000 and taking on columns first in the Sunday Times and then in 2009 in the Financial Times

Twenty years on, MoneyWeek is the best-selling financial magazine in the UK. Merryn was its Editor in Chief until 2022. She is now a senior columnist at Bloomberg and host of the Merryn Talks Money podcast -  but still writes for Moneyweek monthly. 

Merryn is also is a non executive director of two investment trusts – BlackRock Throgmorton, and the Murray Income Investment Trust.