Today in Parliament, the Chancellor announced an ambitious and wide ranging economic plan with a single key aim: growth.
As the Government is required to spend more to support households through the rising cost of living, it is crucial to grow the size of the economy so that this spending can be afforded.
The key points of the plan are:
- The Health and Social Care Levy will be scrapped.
- The basic rate of income tax cut to 19% in April 2023 – one year earlier than planned – with 31 million people getting on average £170 more per year.
- Stamp Duty cuts for both first time buyers and home owners will help people on all levels of the property market and lift 200,000 homebuyers every year out of paying the tax altogether.
- IR-35 off-payroll rules will be scrapped, simplifying the tax system and enabling self-employed people to keep more of the money they earn.
- New legislation will cut barriers and restrictions, making it quicker to plan and build new roads, speeding up the deployment of energy infrastructure like offshore wind farms and streamlining environmental assessments and regulations.
- Corporation tax rise cancelled, keeping it at 19% as government sets sights on 2.5% trend rate of growth.
- Jobseekers over the age of 50 will be given extra time with jobcentre work coaches, to help them return to the jobs market.
Lucy Allan MP said:
I am hugely impressed by the scale and ambition of this radical economic package and its focus on much needed economic growth. These measures will make Britain more competitive. They will enable people to keep more of the money they earn and will encourage business-led growth and entrepreneurship. This bold plan shows determination and strong political will. With more growth there is more money for public services.
This is a properly conservative ‘budget‘ setting out a commitment to economic growth and lower taxes for all workers. It’s about making Britain more competitive and driving forward our entrepreneurial spirit. It is a big, bold, radical plan for economic growth to deliver prosperity for the whole country.
Telford is exactly the sort of entrepreneurial town that will thrive under these plans and today I met with the Secretary of State for Local Government to make the case for a new investment zone in Telford. I will be reaching out to Local Partners for support in ensuring we make the most of this opportunity, enabling Telford to be a competitive, attractive place to start or run a business. This plan has potential to drive growth and prosperity across Telford for years to come.
You can read the Growth Plan in full below.
