Tax receipts suggest economy on the up

HMRC’s latest published tax receipts show total tax receipts for the month of October of some £4.5bn, providing further evidence that the UK is moving out of recession, reports chartered accountants Harris & Co.

Frank Nash, tax partner at Blick Rothenberg LLP said:

‘The figures indicate a continuation of the economic recovery, via higher VAT receipts from the high street and rising Stamp Duty Land Tax (SDLT) from house sales. Residential property transactions are up by 22% and SDLT receipts breached £800m for the fourth consecutive month.’

PAYE receipts have also increased with more people in work and regular pay rates increasing, to reach a total of £1.1bn. The VAT total for the month was a similar amount, and almost double the figure collected the previous month.

Nash concluded:

‘Total tax receipts are up just over £15bn year on year, a rise of just over 3.2%.’