Tax changes result in ‘Worse off Wednesday’

The start of this tax year has already earned itself a bad name amongst finance specialists. High earners will be hit by tax changes today. Changes to personal taxes that could shrink household income by £500 million this year have led economic experts to describe today as 'Worse off Wednesday'. According to analyst firm Capital Economics a further £1.8 billion will be lost to families through welfare cuts. The rising rate of inflation will also mean that real pay will be reduced by 1.5%.