Jeremy Hunt, the Chancellor, has hinted that he will implement further tax cuts in the upcoming Spring budget to alleviate the burden on struggling families. Speaking about his plans, Hunt stated, "There are lots of taxes I'd like to cut." As the two percent National Insurance fall comes into effect for 20 million workers, Hunt has expressed his intention to reduce levies as soon as possible.
Unfreezing Income Tax Rates and Tackling Hits to Wage Packets
Mr. Hunt has left the possibility open for unfreezing income tax rates, which have caused many individuals to pay more of their income in taxes. While the Conservative Party is divided on whether to cut inheritance tax, Hunt has indicated that he is more inclined to address the impact on wages in the March Budget, provided the national finances allow for it. He also emphasized the importance of reducing public spending.
Reducing the Tax Burden on Family Budgets
Highlighting the financial pressures faced by families in recent years, Mr. Hunt stated, "If there's a choice between increasing public spending or reducing the tax burden, my choice is to reduce the tax burden." He acknowledged the challenges faced by families and expressed his commitment to alleviating their financial strain.
Election Prospects and Economic Recovery
Regarding the upcoming General Election, Mr. Hunt believes that victory is within grasp for the Conservative Party. He pointed to a significant economic recovery and emphasized the importance of continuing to reduce taxes on working families in order to secure victory.
Labour's Criticism and Government's Response
Labour has criticized today's National Insurance reduction, claiming that it only provides a minimal benefit to workers. However, Mr. Hunt defended the government's approach, stating that they have been transparent about the need to repay pandemic-related debts and support families with electricity bills.
Future Fuel Duty and Affordability
When questioned about the possibility of freezing fuel duty for the 14th consecutive year, Mr. Hunt expressed his inclination to do so. However, he cautioned that it was too early to determine the affordability of a 5p cut and another 2p freeze, suggesting that a battle may ensue on this matter.
