"government's constantly increasing demands on our wages"
WRONG!!!
UK Income tax Wikipedia
the highest rate of income tax peaked in the Second World War at 99.25%. It was slightly reduced after the war and was around 90% through the 1950s and 60s.
Tax revenues as a percentage of GDP for the U.K. in comparison to the
OECD and the
EU 15.
In 1971 the top-rate of income tax on earned income was cut to 75%. A surcharge of 15% on investment income kept the top rate on that income at 90%.
In 1974 this cut was partly reversed, and the top rate on earned income raised to 83%.
With the investment income surcharge this raised the top rate on investment income to 98%, the highest permanent rate since the war. This applied to incomes over £20,000 (£155,247 as of 2012). In 1974, as many as 750,000 people were liable to pay the top-rate of income tax.
Margaret Thatcher, who favoured indirect taxation, reduced personal income tax rates during the 1980s. In the first budget after her election victory in 1979, the top rate was reduced from 83% to 60% and the basic rate from 33% to 30%
.
The basic rate was also cut for three successive budgets - to 29% in the 1986 budget, 27% in 1987 and to 25% in 1988. The top rate of income tax was cut to 40% in the 1988 budget.The investment income surcharge was abolished in 1985.
Subsequent governments reduced the basic rate further, down to its present level of 20% in 2007. Since 1976 (when it stood at 35%) the basic rate has been reduced by 15%.
In 2010 a new top rate of 50% was introduced on income over £150,000. In the 2012 budget this rate was cut to 45%.