By Daniel Hunter

Forecasts from HM Revenue & Customs show that the highest rates of tax will be paid by 4.1 million people during this financial year.

The forecasts show that 3.8 million people will be taxed at the 40% higher rate, and a further 307,000 will be taxed at the 50% additional rate.

This represents a 29% increase from from the number of people paying the lone higher rate three years ago.

"The combination of that happy couple, fiscal drag and cuts in the higher rate threshold, is pushing more people into the higher rates where they can contribute more to cutting the deficit," John Whiting, of the Chartered Institute of Taxation (CIOT) told the BBC.

Join us on
Follow @freshbusiness