Challenge the Chancellor Competition: 2006/7 Winners

Overview of Entries

A level students

Once again, this competition attracted a good number of enthusiastically written entries. Rather puzzlingly, popular themes seem to centre around taxing all the items teenagers are known to be fond of: mobile phones, batteries, fast food, chewing gum and use of the Internet. As usual, concern for the environment is evident from the large number of entries suggesting various uses of tax to prevent or reduce environmental damage from landfill, aviation and the use of cars. A particularly imaginative entry this year suggested a reduction in Council Tax for those households painting their roofs white (based on the rather dubious science that this will cause the buildings to reflect light rather than soak it up, thus alleviating global warming). There were two well-considered entries suggesting taxation of foods according to air miles involved. Concern over the rise in obesity levels in the UK prompted several entries aimed at promoting healthier eating, including a couple of entries suggesting graduated taxes on foods calculated by reference to the new content labelling system. Thus foods flown long distances would carry relatively high rates of indirect tax, as would foods labelled as high in fat and sugar.

Other targets for environmental taxes included taxes on fridges, aerosols, incandescent light bulbs, plastic carrier bags and the "egg-cessive" packaging used for Easter eggs.

Social conscience was also in evidence, with entries aimed at reducing reliance on sourcing clothing from sweatshop conditions, making affordable credit available to low income families and the siting of casinos in socially deprived areas.

The winning entry, proposing a tax on real Christmas trees, was chosen because the authors had researched the issue carefully and had thought through the implications of their tax, taking into consideration the wider issues involved.

GCSE students

The GCSE students were asked this year to complete a task aimed at fostering an understanding of employers' taxation responsibilities under the PAYE system, along with an understanding of how taxes and other items, such as Statutory Sick Pay and student loan repayments, affect a person's net wages. Some good entries were received, demonstrating a firm grasp of the subject.

A Level competition:

• Winners: "Santa's Little Helpers" from Malvern St James School, Great Malvern
• Runners-up: "The Energisers" from Whitgift School, Croydon

GCSE competition:

• Winners: Colchester Royal Grammar School, Essex
• Runners-up: St Thomas More Catholic College, St Albans

Winning entries from the 2005/6 competition are also available.