Kwarteng says highest rate of income tax being abolished, and basic rate being cut to 19% from next April

[North Cardiff Blue]

I think the lefties will regret bombing out Boris, Truss is far more conservative.



Kwarteng says highest rate of income tax being abolished, and basic rate being cut to 19% from next April
Kwarteng concludes with two announcements about income tax.

He says the top rate of income tax – the 45% rate for earnings over £150,000 – is being abolished altogether.

He says Labour never had a 45% rate of income tax when it was in power.

And he says the government will cut income tax by 1p in the pound from April next year. That is one year earlier than planned, and it will take the rate down to 19%, he says.

This means that we will have one of the most competitive and progressive income tax systems in the world.

That’s it. He has finished the speech.

https://www.theguardian.com/politics...-tax-cuts-live


Key points from mini-budget
Despite the name, the mini-budget has announced quite a few changes for the UK.

Here is a run-through of the main ones:

Top rate of income tax for the highest earners abolished. Those on more than £150,000 a year will no longer pay45 per cent but instead the lower 40 per cent rate applicable to those on over £50,271
Cap on bankers’ bonuses axed
Planned increase to corporation tax scrapped
Cut to basic rate of income tax brought forward
Cut to stamp duty which means 200,000 fewer people will pay the tax on house purchases
VAT-free shopping introduced for overseas visitors
Legislation to force trade unions to put pay offers to a member vote so strikes can only be called once negotiations have fully broken down
Confirmation of plans to make around 120,000 more people on Universal Credit take active steps to seek more and better paid work or face having their benefits reduced

https://www.independent.co.uk/news/u...-b2173590.html

[North Cardiff Blue]

https://www.moneysavingexpert.com/ne...dget-tax-cuts/

Chancellor Kwasi Kwarteng has announced big tax cuts for individuals and businesses including a major shake-up to income tax. The change comes as part of today's mini-budget, with other key announcements, which we round up below, including a reversal of the 1.25 percentage point rise in national insurance and changes to universal credit.

Income tax – top 45% rate to be scrapped and basic rate cut by one percentage point
From next April, the 45% top rate of tax (which currently applies on earnings above £150,000) will be scrapped entirely.

At the same time, the basic rate of tax will be cut from 20% to 19%. This will mean 31 million people will be better off by an average of £170 per year, according to the Treasury.

These changes apply to the rates for non-savings, non-dividend income for taxpayers in England, Wales and Northern Ireland. Scotland has a slightly different income tax system. We've asked the Scottish Government if it's planning to make any changes to its income tax rates and will update this when we know more.

Stamp duty cut permanently from today
From today, you won't pay any stamp duty on the first £250,000 of a property (doubled from £125,000). The Treasury says this means 200,000 more people every year will be able to buy a home without paying any Stamp Duty at all.

And first-time buyers will now pay no stamp duty up to £425,000 (up from £300,000). The Government has also increased the value of the property on which first time buyers can claim relief, from £500,000 to £625,000.

National insurance rates to be cut from November
The 1.25 percentage point rise in national insurance contributions (NICs), which took effect earlier this year, will be reversed in November. The change, which was announced yesterday, will benefit almost 28 million working people. It will be worth £330 on average in 2023-24, with an additional saving of around £135 on average this year, according to the Treasury.

The new rates will take effect on 6 November – and most workers should see the effect in the same month. However, due to the complexities of some payroll software systems, there will be some people who receive the cut backdated in December 2022 or January 2023. See our full National insurance rise reversed story for more info.

Universal credit rule changes
More than 100,000 people claiming universal credit will be asked to "take active steps" to increase the hours they work or find better paid jobs – or face having their benefits reduced.

Currently, those working up to 9 hours a week at the national minimum wage are required to meet regularly with their job centre coach and take active steps to increase their earnings – but this will be expanded to those working 12 hours a week from next week and to those working 15 hours a week from January 2023. See our Universal credit rule changes MSE News story for full info.

[Pearcey3]

I think the lefties will regret bombing out Boris, Truss is far more conservative.



Kwarteng says highest rate of income tax being abolished, and basic rate being cut to 19% from next April
Kwarteng concludes with two announcements about income tax.

He says the top rate of income tax – the 45% rate for earnings over £150,000 – is being abolished altogether.

He says Labour never had a 45% rate of income tax when it was in power.

And he says the government will cut income tax by 1p in the pound from April next year. That is one year earlier than planned, and it will take the rate down to 19%, he says.

This means that we will have one of the most competitive and progressive income tax systems in the world.

That’s it. He has finished the speech.

https://www.theguardian.com/politics...-tax-cuts-live


Key points from mini-budget
Despite the name, the mini-budget has announced quite a few changes for the UK.

Here is a run-through of the main ones:

Top rate of income tax for the highest earners abolished. Those on more than £150,000 a year will no longer pay45 per cent but instead the lower 40 per cent rate applicable to those on over £50,271
Cap on bankers’ bonuses axed
Planned increase to corporation tax scrapped
Cut to basic rate of income tax brought forward
Cut to stamp duty which means 200,000 fewer people will pay the tax on house purchases
VAT-free shopping introduced for overseas visitors
Legislation to force trade unions to put pay offers to a member vote so strikes can only be called once negotiations have fully broken down
Confirmation of plans to make around 120,000 more people on Universal Credit take active steps to seek more and better paid work or face having their benefits reduced

https://www.independent.co.uk/news/u...-b2173590.html

It isn’t going to be just the “lefties” it will be most of the country apart from the rich. The stock market is in freefall and the pound down to its lowest rate v the dollar since 1985.
Major tax cuts for the rich when the level of national debt is going through the roof is idiotic. We are in for some very tough times.

[North Cardiff Blue]

It isn’t going to be just the “lefties” it will be most of the country apart from the rich. The stock market is in freefall and the pound down to its lowest rate v the dollar since 1985.
Major tax cuts for the rich when the level of national debt is going through the roof is idiotic. We are in for some very tough times.

The borrowing is massive, we need a small short recession to bring down inflation, I can't see the logic in this?

[HiVis]

It isn’t going to be just the “lefties” it will be most of the country apart from the rich. The stock market is in freefall and the pound down to its lowest rate v the dollar since 1985.
Major tax cuts for the rich when the level of national debt is going through the roof is idiotic. We are in for some very tough times.

Weren't you complaining when the NICs rate was increased, saying it was impacting those on lower incomes. As this has been reversed surely it is a good thing.

[life on mars]

Weren't you complaining when the NICs rate was increased, saying it was impacting those on lower incomes. As this has been reversed surely it is a good thing.

Its been changed twice now and 2.2 million were taken out of that increase a few months ago by measures to help lower paid bit like Furlough job protection ,unlike Unions holding ordinary folk to ransom on the trains with their idea of trickle down fare increases for poorer working folk getting to work to pay for the left wing driven crazy pay rise demands

[Citizen's Nephew]

Its been changed twice now and 2.2 million were taken out of that increase a few months ago by measures to help lower paid bit like Furlough job protection ,unlike Unions holding ordinary folk to ransom on the trains with their idea of trickle down fare increases for poorer working folk getting to work to pay for the left wing driven crazy pay rise demands

Give it a f*cking rest!

[North Cardiff Blue]

Massive tax cut for some trading as a limited company and not pay as you earn through umbrella companies.

https://www.ftadviser.com/your-indus...ed-from-april/

Mini-Budget: IR35 will be repealed from April

The IR35 reform will be repealed from April 6, 2023, according to this morning’s mini-Budget.

Speaking to the House of Commons today (September 23), Chancellor Kwasi Kwarteng said from April, workers across the UK providing their services via an intermediary, such as a personal service company, will once again be responsible for determining their employment status and paying the appropriate amount of tax and NICs.

Kwarteng also used today's mini-Budget to scrap the additional rate of income tax and cut its basic rate to 19 per cent in a series of tax cuts which amount to £45bn.

The 2017 and 2021 reforms to the off payroll working rules - also known as IR35 - were a tax law that required the end client, and not the contractors they hire, to decide if the working relationship resembles a self-employed engagement or employment.

Under existing rules, the fee-paying party (either the end client or recruitment agency) shoulderd the liability.

The aim of the reform was to stop the promotion and misselling of disguised remuneration schemes, however the legislation has received criticism.

Kwarteng has repealed these reforms as part of the first steps in taking complexity out of the tax system.

He said: “To achieve a simpler system, I will start by removing unnecessary costs for business. We can also simplify the IR35 rules and we will. In practice, reforms to off-payroll working have added unnecessary complexity and cost for many businesses.

“So as promised, by the prime minister, we will repeal the 2017 and 2021 reforms. Of course, we will continue to keep compliance closely under review.”

The changes will mean workers will once again be responsible for determining their employment status and paying the appropriate amount of tax and national insurance contributions.

This will free up time and money for businesses that engage contractors which the chancellor said could be put towards other priorities.

The reform also minimises the risk that genuinely self-employed workers are impacted by the underlying off-payroll rules.

IR35 reforms
In August, prime minister Liz Truss gave an interview where she indicated she would review the IR35 reforms.

The reforms were introduced in April 2021 to the private sector, and means that the responsibility for assessing whether a contractor is self-employed or employed is now with the end client, and not the contractor themselves.

The liability, and therefore financial risk, was also transferred to the fee-paying party.

The changes have been branded “a mess”, “unpopular” and “puzzling”.

The controversy surrounding the changes prompted the former chancellor, Sajid Javid, to pledge a review of IR35 as part of the Conservative party’s manifesto in the lead up to the general election.

[the other bob wilson]

Its been changed twice now and 2.2 million were taken out of that increase a few months ago by measures to help lower paid bit like Furlough job protection ,unlike Unions holding ordinary folk to ransom on the trains with their idea of trickle down fare increases for poorer working folk getting to work to pay for the left wing driven crazy pay rise demands

So, tell me, how do you think the UK economy has performed over the past twelve years?

[HiVis]

So, tell me, how do you think the UK economy has performed over the past twelve years?

between 2002-2007 the economy grew by 2.9% year on year. It nosedived in 2007-8 eradicating most of the gains

between 2010-2015 the economy grew at 2% and grew again by more than 2% in the years 2016-2022, except for 2020 when it nosedived, eradicating a lot of the gains in the previous years.

The economy is larger now than it was in 2002, 2010 and 2015.

[Canton Kev]

I think it’s something just shy of 2% of workers earn £150k+ Less than 500k people in the whole country.

Phew, I’m glad they’re getting the help they need in these trying times.

[dandywarhol]

Any queries contact Kwarteng and Truss at https://Wonga.gov.uk

[the other bob wilson]

I thought threads like this weren’t going to be on here? There’s two threads been started on this already on the other board.

[William Treseder’s Mam]

How did the lefties bomb out boris? Didn’t his own party give him a vote of no confidence after he lied to parliament?

Sounds like the OP just thinks political parties are like sports teams.

[North Cardiff Blue]

How did the lefties bomb out boris? Didn’t his own party give him a vote of no confidence after he lied to parliament?

Sounds like the OP just thinks political parties are like sports teams.

Boris had a party, Boris had a party, Boris had a party, Boris had a party, I couldn't see me granny, I couldn't see my granny, Boris has eventually gone, Truss is in Oh shit.

[William Treseder’s Mam]

I thought threads like this weren’t going to be on here? There’s two threads been started on this already on the other board.

OP is a massive attention seeker, hopefully it gets moved soon.

[Dave Blue]

The right got rid of Boris. The left just cheered them on. Now we have full on Toryism and it certainly won’t be just ‘lefties’ that will suffer. Since they are a cabinet of millionaires, it won’t bother them.

[North Cardiff Blue]

The right got rid of Boris. The left just cheered them on. Now we have full on Toryism and it certainly won’t be just ‘lefties’ that will suffer. Since they are a cabinet of millionaires, it won’t bother them.

The left wing media kept on and on until it was imposible for him to remain, be careful what you wish for mind, as it's completely backfired as this budget shows.

[Tuerto]

The left wing media kept on and on until it was imposible for him to remain, be careful what you wish for mind, as it's completely backfired as this budget shows.

This makes no sense whatsoever. Just to add, there isn't any Left Wing Media in the UK, The Guardian, a newspaper that did all it could to discredit Corbyn, is centrist.

[North Cardiff Blue]

This makes no sense whatsoever. Just to add, there isn't any Left Wing Media in the UK, The Guardian, a newspaper that did all it could to discredit Corbyn, is centrist.

You would have been saying in the Boris party threads you wanted him gone for having a party, now he's gone, be careful what you wish for, he was hardly conservative, his politics was not far away from Blairs New Labour.

Now it's Tory plus and you and the Guardian would have been better off keeping Boris.

[HiVis]

This makes no sense whatsoever. Just to add, there isn't any Left Wing Media in the UK, The Guardian, a newspaper that did all it could to discredit Corbyn, is centrist.

the Guardian is centre left.

[SLUDGE FACTORY]

the Guardian is centre left.

It's a Liberal paper . It was founded as a Liberal supporting paper in Manchester . In the brown v Cameron head to head it sided with clegg . Then slagged off the liberals for not getting enough votes to form a coalition with Labour.

I have never forgiven the tossers .

[Hilts]

Move this crap please.

[Swiss Peter]

Move this crap please.

[Wales-Bales]

Move this crap please.

Yeah, move this crap, I want to pay higher taxes.