Although the 45% is only applied to income above £120,000 and VAT either doesn't apply or is reduced to 5% on stuff like (most) food, rent, utilities, children'

Although the 45% is only applied to income above £120,000 and VAT either doesn't apply or is reduced to 5% on stuff like (most) food, rent, utilities, children's clothes, and loads more. So what you're saying is pretty wrong.