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?

[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.

[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.

[Hilts]

Move this crap please.

[Swiss Peter]

Move this crap please.

[Eric Cartman]

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.

They will hire you to shine their shoes for 3p an hour with the extra

[Wales-Bales]

Move this crap please.

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

[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.

[Citizen's Nephew]

F*ck the Tories.
F*ck this thread.
Lower than vermin.

[life on mars]

Brilliant budget

[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

[Pearcey3]

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.

Nope I don't remember ever passing comment about it on here.

[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!

[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?

[J R Hartley]

Tax cuts for business so they can use their profits to reinvest and give their workforce a bigger pay rise. LOL. Who are they kidding.

[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.

[Vindec]

The so called fiscal event is an interesting experiment. Will it work? The City has already decided it won't. Gilt yields are rising, the pound is collapsing against major currencies and the stock market is falling. In theory much in today's statement will stimulate growth but the consequences could go very badly if the markets are correct. Does trickle down economics work? In theory yes but in practice probably not. Of course any budget will be met with opposition, as it has been, but in reality it's obvious that the more people earn the more tax they pay so any reduction in taxes will obviously favour the better off. While I am sceptical that today's fiscal experiment will work one thing is for sure - increasing benefits will not and cannot stimulate growth.

In my humble and largely uninformed opinion more needed to be done to help the middle earners; they are the spenders and they are the people that are most likely to stimulate growth. The higher earners and rich are unlikely to spend more as they have the spending power already and that is unlikely to change as a result of today's announcements.

[Canton Kev]

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.

Have you just had a stroke?