It was a summary of a Scottish govt publication. No idea what methodology was used, but I don't see how they can account for higher earners avoiding Scotland in the longer term. They are aware of that issue though, and haven't floated increasing the difference to rUK more recently.
Whether or not an extra 5% is a lot rather depends hownmuch more above 125 you earn, I suppose. You are getting to the top 1-2% though and the crossover where it is not worth employers paying people that much as a salary.
The level of migration between Scotland and the rest of the UK was around 30,000 moving in each direction every year, with minimal levels of net migration to Scotland (between -1,600 and +1,400) from the rest of the UK between 2010 to 2017. Beyond 2017, the first year where Income Tax was (partially) devolved, net migration to Scotland increased on a yearly basis, to around 6,500 individuals in 2022 to 2023 (with a peak of approximately 8,500 in 2021 to 2022).
This shift from the previously stable trend reflected a growing number of taxpayers migrating from from the rest of the UK to Scotland compared to earlier years, for example in the tax year ending 2012 around 22,000 individuals migrated to Scotland, and 23,000 migrated from Scotland to the rest of the UK, whilst in the tax year ending 2023 the respective figures were 36,5500 migrating to Scotland and from the rest of the UK and 29,500 migrating from Scotland to the rest of the UK . Overall, net migration to Scotland was positive in 10 out of the 13 years between 2010 - 2023.
The net income movement (the amount of taxable income earned by individuals migrating from the rest of the UK to Scotland minus the amount of income earned by individuals migrating from Scotland to the rest of the UK) was at a deficit between 2011 and 2019, averaging around -£60 million, but that changed to a surplus of approximately £220 million in tax year ending 2022 and around £160 million in year ending 2023, respectively.
So basically increasing taxes has led to more people moving from the rest of the UK to Scotland and increasing the taxes collected.
Information taken from HMRC.
Can't be done. As soon as any Government even suggests increasing taxes on the wealthy (who can afford it) they threaten to abandon the UK and emigrate and Government gets scared as apparently we need people who are not prepared to contribute, those with broadest shoulders and those who have more than they could ever spend in several lifetimes yet apparently need even more.
Yes they threaten but very few if any actually do, and if they don't pay what difference would it make anyway.