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Hinduism

12 February 2024

7 min read

Rishi Sunak’s wealth and why he doesn’t apologise for it

Commentary on wealth prompts Rahil Patel to explore Hindu, and Christian, attitudes to prosperity.

Rahil Patel

Rahil is a former Hindu monk, and author of Found By Love. He is a Tutor and Speaker at the Oxford Centre for Christian Apologetics.

A red carpet lies on a grand entrance to a newly constructed Hindu temple.

A £86m Hindu temple newly constructed in the UAE.

When Rishi Sunak was on the verge of becoming the UK’s first Asian Hindu Prime Minister much of the British media was hounding him about his extraordinary wealth . At the time, the BBC’s North America editor Jon Sopel had just returned to London from Washington DC and commented on Twitter/X that the media commentary on Mr. Sunak’s wealth were ‘very British’ in nature. After considerable time covering the America’s financially seismic politics we might sympathise with Mr. Sopel’s diagnosis.

However, the question of money and wealth in politics or elsewhere for that matter is not just a cultural divide between Britain and America. It is a significant religious divide between those of the Christian faith and those from a Hindu background.

A startling truth that many Christians is that in Christianity you can’t serve God and Money. In Hinduism, you can. In fact, you must! Dharma (moral duty), Artha (wealth), Kama (pleasure) and Moksha (liberation of the Self from birth and rebirth) are the four ‘spiritual paths’ all Hindus of all traditions must pursue (unless one decides to take a more monastic route of course)!

PM Sunak could have shot back at the press by simply saying, ‘could you please not offend my Hindu faith!’ Frankly, he would have been one hundred percent right. And as a minority faith believer in today’s United Kingdom that volley response to a hawkish media would have halted them in their tracks. For better or worse, Christian political leaders can’t get away with that sort of thing…

Wealth is a sign that ‘God is on your side.’ The only catch I must hasten to add is that when money is asked from a Hindu, one must not hesitate to give it away.

It is true, along with all the intricately meditative, contemplative and devotional teachings across various Hindu traditions, nearly every single Hindu Guru will encourage and guide their followers to pursue money. After all, that’s how one builds beautiful temples and grows the Hindu faith. The Swaminarayan Hindu Movement for example have spent close to $700m building temples in North America over the last twenty years alone. Temples and shrines line the streets and sideways of India supplying its one billion Hindus plenty of space for belonging, prayer and worship.

The Hindu concept of a temple to house the images of god is a Greek import into Hinduism during the fourth century AD. It is now a central spiritual pillar across all Hindu religions and money plays a key spiritual role lying primarily on the shoulders of the Hindu believer.

Temples tend to attract more wealth. The famous Tirupati Balaji Temple in South India’s Andhra Pradesh State has a net worth more than the market capitalisation of companies like Nestle, Wipro or Indian Oil Corporation.

Yes, it can be very transactional for Hindus at times but then there is a beautiful reminder in the minds of many Hindus that says, “it’s not mine anyway.”

Tithing is a huge part of a devout Hindu’s life and so making money to give away is equally important. Wealth is a sign that ‘God is on your side.’ The only catch is that when money is asked from a Hindu, she must not hesitate to give it away. That’s the spiritual trick that reveals the attachment or detachment to money in a devout Hindu’s life. This spiritual test almost gives the guru the upper hand. His or her work will always flourish.

In my life as a Hindu monk I have witnessed time and again how Hindus have been struck by the selfless giving of Christians and more so to causes that would never cross the mind of a Hindu.

Giving to the downtrodden and marginalised in India is a very Christian action as it contradicts how a Hindu must play out their karma if they are destined to be poor or destitute. Hindus prefer to give to temples and earn god's direct blessing. Yes, it can be very transactional for Hindus at times but then there is a beautiful reminder in the minds of many Hindus that says, “it’s not mine anyway.”

Every Hindu seeks Moksha (a liberation of the Self from birth and rebirth), not Salvation. One of the four key practices for that ultimate liberation from birth and rebirth is Vairagya which is to remain detached from earthly pleasures. Hindu doctrine does not say one can’t enjoy wealth but does say that if it is not in your possession one day for any reason one mustn’t lose Stita Pragnata (a still and balanced mind). Staying unaffected is the aim. If you are unaffected at the loss, your Atma (the Self) is very much on the path to Moksha.

Famous stories of detachment to wealth are often woven into Hindu teachings as a healthy reminder. The ancient Hindu king Janaka sat rooted to the spot listening with rapt attention to his guru whilst his palace in the famous city of Mithila south of the Himalayas was burning. Ironically, it was the monks that stood up and ran to fetch their burning robes and food bowls revealing how detachment is an internal affair.

Whilst money might deal with the ideas of detachment and attachment in a Hindu world it doesn’t really deal with the deep longing in the human heart which is to be able to trust in someone who is a good Father for all one’s needs. The deep but unknown longing that God has your back and will provide even when you falter or fail is never fulfilled. This is where and when Karma puts the final nail in hope’s coffin for a Hindu and this is why there is always a sense of restlessness and striving simmering underneath the face of spiritual detachment at all times. “All my worth in God’s eyes and man lies in this accumulation of wealth” is quite a common but subtle heart posture. This is not articulated in the mind of course but it is the engine driving the relentless hard work.

Yes, Indians are a very successful community at every level of western society. The culture of family and frugality plays a good role in that success but if we were carefully and respectfully to place a microscope over the heart and mind of a Hindu the intricate mechanism behind the ‘success’ is running on the pistons of striving and performance. It is a tiring and gruelling inner world.

Detachment from the world or money does not bring the rest, joy and hope that the heart truly cries and craves.

Jesus often talks about money because it’s probably the best tool for revealing the heart. It highlights the obvious pitfalls of the prosperity gospel whilst equally but more subtly exposes the false spiritual facade of the poverty gospel. “It’s very spiritual to be poor” can sneak into our hearts under the guise of humility quite often. Apologising for the Father’s blessing in life is one of many signs of the poverty gospel. To revert back to Jon Sopel's transatlantic perspective, the prosperity gospel is quite obvious in parts of the American church but the poverty gospel not so much. And, in my view it is quietly hidden in parts of the British church.

You can give money because you are genuinely generous while others may part with money because they are guilty for having it! And yes, there are those of us who give away money because we are simply bad stewards of money. It all looks very much the same but Jesus is interested in the heart and what this profound tool amplifies in that deep and protected place.

One very awkward question Hindus tend to ask a Christian when they feel a level of trust has been developed is ”why aren’t you financially blessed by your God?” It’s a fair question now that we know a Hindu’s general worldview on the matter. A Christian can answer by offering the security and sense of significance that Christ offers not just intellectually through eastern-style self-talk but by His Spirit who dwells in the heart of a believer. If wealth is added to that, so be it but one doesn’t chase after or apologise for it.

Detachment from the world or money does not bring the rest, joy and hope that the heart truly cries and craves. An “unaffected mind” brought forth with striving and performance is not the same as the deep Peace th that Jesus wants to offer.

When Mahatma Gandhi was fasting during his ‘Quit India Movement’ he wasn’t fasting in the Hindu context of immolation of the body’s desires. Instead he fasted for those in the British administration, who he believed from his knowledge of the Christian faith, were slaves to money and power. He made this very clear in a letter to Lord Irwin who was the Viceroy of India during the Independence struggle.

He knew that Christians should have one master uncoupled from mammon and if he used Christian principles against a civilisation based upon the message of the Messiah he would stand a far better chance. A Hindu was fasting, for a Christian result. In short, he was fasting in the most un-Hindu way…

Prime Minister Rishi Sunak recently in January 2024 revealed his weekly fasting routine in the aim of a ‘balanced lifestyle’ so that he can indulge in ‘sugary treats later in the week.’ Not quite the same as Gandhi’s desired result but still a devout Hindu at that and quite unapologetic about his wealth.

Explainer

Comment

Economics

29 October 2024

6 min read

How to tax ethically to avoid a two-tier society

From income tax to property and inheritance taxes, which is fairer?

Laurence Fletcher

Laurence Fletcher is a journalist at the Financial Times.

Sarah Agnew on Unsplash.

Few doubt that Chancellor Rachel Reeves will be putting up taxes when she presents her first Budget on October 30th.

The political narrative of recent months has very much been of an alleged fiscal “black hole” of £22bn - or is it £40bn? - that somehow needs to be filled.

While the size of the shortfall and the identity of those responsible are both hotly disputed, and despite a lack of detail from the Treasury about what it actually consists of, the questions now being asked are not whether taxes will rise but which ones and by how much.

Months of speculation have focused on employer National Insurance, capital gains tax and freezing income tax thresholds as areas that Reeves could look to for the additional revenue.

But beyond the immediate issue of raising enough revenue to make good any shortfall, lies a deeper, trickier question about the way in which taxes should be levied for the good of society. If a government is to force people and companies to hand over their money, then what is the most ethical way to do this? Who should pay and who shouldn’t? How can tax be used to reduce inequality and build a better society?

Answering such questions is, of course, far from straightforward, because there are plenty of other factors in play.

For instance, some taxes are surely levied because they are simpler to collect. Take income tax - an unpopular measure introduced in 1799, then abolished before being reintroduced as a supposed temporary measure. It could certainly be argued that taxing people’s income - their attempt to get on in life and improve their lot in life - is less “fair” than taxing wealth that has been accumulated by someone’s ancestors years ago. Working hard and earning income is often surely a way of breaking down class divisions. But income tax - contributing 28 per cent of UK government tax take in 2023-24, according to The Institute for Fiscal Studies - has the advantage that it is relatively difficult for the average worker at a UK company to avoid it. Ease of levying it is surely a driver.

Equally, some taxes that might seem “fairer” have deliberately not been levied because of the difficulty in collecting them, and/or because to try to do so could be counterproductive.

A wealth tax, for instance, would be “economically damaging”, according to one of the UK’s highest profile tax experts Dan Neidle.

Or take the politically contentious issue of non-doms, a colonial era tax break allowing rich foreigners to avoid UK tax on overseas income. It would be fairer, the argument goes, to tax them on the whole of their income. If they are going to be resident in the UK, then surely they should be taxed like a UK resident whose home is here?

Former Chancellor Jeremy Hunt abolished this regime earlier this year but left a number of concessions that the incoming Labour government pledged to abolish. But non-doms are tax-sensitive and highly mobile, and a number of jurisdictions compete to attract them. Many are entrepreneurs and wealth creators that many countries need. Reports have suggested a clampdown could raise no money or even cost money and could drive people away.

“Housing is being treated as a commodity. The problem is, it’s not; it’s not just an asset. It has utility value and a communal and quasi-spiritual value, enabling people to feel rooted.”

Paul Williams

So, what can be done to use tax in an ethical way? Paul Williams, research professor of marketplace theology and leadership at Regent College, Vancouver and chief executive of the Bible Society, takes a Biblical perspective that he believes offers some solutions.

He takes as his starting point a story from the gospel of Matthew, where Jesus is asked whether people should pay taxes to Caesar. The question is a trap - either Jesus gives his backing to taxation that is highly unpopular with the Jewish people, or he rejects the tax in an act of rebellion against the Romans.

Jesus replies that they should “pay to the Emperor what belongs to the Emperor, and pay to God what belongs to God.” We are to pay our taxes to those in authority, but we are also to honour God.

While Williams believes that too much emphasis is placed on the Budget and political parties’ promises to be able to fix everything, and that a more radical rethink of our economy is required, he also sees room for positive tweaks to the current system.

One key area is the property market, the manifestation of so much inequality in society, with some people owning multiple houses while others cannot afford to buy one.

Williams argues that the ready availability of debt finance has allowed those who already hold assets to easily acquire properties, turning real estate into an investable asset class to the detriment of many of the poorer in society.

“The reason there’s so many homeless people and empty houses is due to debt finance. It makes it easy for a relatively small proportion of the population to acquire a large percentage of the assets.

“The system has allowed a structure in which a small advantage in the beginning can lead to big, big differences over time.”

Williams highlights parts of Devon and Cornwall that have been, he says, “completely ruined” by wealthy people from elsewhere buying second homes, leaving property “out of reach of anyone who lives and works there”.

Nevertheless, he believes taxation can be used in this area to help level the playing field.

He proposes a “pretty punitive” marginal rate of tax on ownership of more than one home. (Stamp duty only partly does the job and is a blunt instrument also affecting people moving homes, thereby makes mobility expensive).

“You want to disincentivise the way the housing market is used for speculation,” he said.

“Housing is being treated as a commodity. The problem is, it’s not; it’s not just an asset. It has utility value and a communal and quasi-spiritual value, enabling people to feel rooted.”

Buy-to-lets, meanwhile, are better than having empty second or third homes, but “wouldn’t it be better if occupiers could buy that house?” he adds.

Meanwhile, research by the Financial Times recently found a huge wealth gap between the average millennial and the top 10 per cent of millennials, who are benefiting from family wealth to accumulate substantial housing assets.

So, would increasing the rate of inheritance tax - one of the most hated of taxes - and/or lowering the threshold also help reduce some of this inequality? After all, how is it fair that one child in the UK is born to inherit large property wealth while another is born to inherit little or nothing? Or, even worse, that second child will only ever be able to afford to be the tenant of the first, paying them rent for the rest of their lives?

Williams is not a fan of inheritance tax per se, arguing that it is “not part of the package” in a Biblical image of a flourishing economy.

But he adds an important caveat: “the playing field is not level.

“There might be circumstances to impose a one-off tax on the very wealthy… if you want a transition to a more equitable society.”

Such steps are not easy to take. It is, he admits, probably “career suicide” for a politician to adopt such views. But if we are to take steps towards a fairer way of life, and avoid a two-tier society in decades to come, then maybe the conversation needs to shift this way. Perhaps the Budget could be the time to start.