I welcome the Chancellor’s Spring Statement today which unveiled a new Tax Plan to cut personal taxes, ease the rising cost of living and put our public finances on a strong footing at a time of great international uncertainty.
Measures announced include:
- Cutting fuel duty by 5p per litre from 6pm tonight – many constituents have emailed me, calling for fuel duty to be reduced. I am delighted that the Chancellor has announced this cut to help drivers across the UK, worth a total of £2.4 billion.
- Lifting the National Insurance personal threshold from £9,500 to £12,750 from July. Worth over £6 billion, this tax cut will see an average employee save over £330 a year. This will ensure around 70 per cent of all workers receive a net National Insurance cut this year, as the allowance increase is worth more than the NHS and social care levy.
- Doubling the existing Household Support Fund from £500 million to £1 billion. This fund, distributed by local authorities, will ensure families who most need it receive support with the cost of living.
- Cutting VAT on the installation of energy saving materials in residential properties from 5 per cent to zero for five years. Improving the energy efficiency of homes can make a big difference to people’s bills.
- Increasing the Employment Allowance to £5,000. This is a tax cut worth £1,000 for small businesses to help boost growth.
- An unprecedented commitment to cut the basic rate of income tax by 1p in every pound from 2024.