Monzo Founder Predicts Income Tax Obsolete Within Five Years Due to AI

Tom Blomfield, the entrepreneur behind digital bank Monzo, stated that income tax will become obsolete within the next five years due to artificial intelligence displacing human workers. He made the prediction during an appearance on The Rest is Money podcast. Blomfield argued that governments must rethink funding for public services as AI advances.

Blomfield proposed that authorities impose levies on computational infrastructure, such as data centers, rather than taxing wages. "I don't think we'll tax human labour, we'll tax compute, [meaning systems like] data centres, and then we will use the proceeds to pay for Government," he said.