A Fairer Tax System

We believe that Wales should have full control of economic levers, in order to grow and green our economy in a way that will have the greatest positive impact upon our communities. We want the Senedd to have powers to set income tax bands and thresholds, as they already do in Scotland, so that we can create a system that fits Wales’s circumstances.

At a UK level, we want to see the balance of the tax burden fall on those individuals and corporations with the broadest shoulders bearing a fairer share of overall tax paid, rather than those with less means.

In recent years, we have seen some industries substantially increase their profits because of market conditions and not as a result of their own investment and endeavours. These sectors, which have included oil and gas producers and energy companies, should be appropriately taxed, particularly where there is an effective monopoly or cartel which controls the product. In particular, we think that energy companies should be subject to an increased windfall tax, and will close loopholes which they currently exploit to avoid this. At the same time, we will promote renewable energy investment as an alternative.

We would re-introduce the cap on bankers’ bonuses.

Plaid Cymru would equalise capital gains tax with income tax, raising between £12bn - £15bn. We would investigate increasing higher earners’ National Insurance contributions, and support introducing a wealth tax. We would crack down on tax evasion and avoidance, and abolish loopholes for non-doms.