- Jason McCartney MP has welcomed the Conservative Government’s Budget, sticking to the plan to put more money in the pockets of hardworking people across Colne Valley, Holme Valley and Lindley.
- By sticking to the plan to halve inflation and strengthen the economy, the Conservative Government have been able to put more money in people’s pockets through tax cuts that reward hard work.
- This Budget delivers on the Conservatives’ plan to cut taxes, helping with the cost of living and building a brighter future for people and their families.
Jason McCartney MP has welcomed a tax cut worth £900 for the average working on £35,400 a year, thanks to the Conservative Government’s Budget.
By sticking to the plan, and more than halving inflation from 11.1. per cent to 4.0 per cent, the Conservatives have been able to cut taxes for people across Colne Valley, Holme Valley and Lindley.
At the Budget, the Conservatives announced that National Insurance contributions will be cut to eight per cent. Taken together with the cut to National Insurance announced last year, the Conservatives have delivered a tax cut worth a total of £900 a year for a worker on the average salary of £35,400.
Cutting National Insurance is the fairest and most effective way to incentivise work and drive growth, whilst also reducing the overall tax burden. The Conservatives will also cut National Insurance for the self-employed, delivering a combined tax cut worth £650 for the average earnings of £28,000 a year.
Thanks to Conservative led tax cuts, and to above-inflation increases to tax thresholds since 2010, an average worker in 2024-25 will pay over £1,600 less in personal taxes than they otherwise would have done.
These tax cuts follow the Conservatives’ decision to stick to the plan to strengthen the economy, delivering a brighter future for more people across the country.
Commenting, Jason McCartney MP said:
“Because we stuck to the plan inflation has more than halved the economy has performed better than forecast, wages are rising, mortgage rates are starting to come down, the economy has outperformed European neighbours and debt is on track to fall as a share of the economy.
“That is why we have been able to afford tax cuts, rewarding hardworking families across Colne Valley, Holme Valley and Lindley.
“This progress is thanks to the long-term decisions the Conservatives have taken to stick to the plan and strengthen the economy, helping to secure a brighter future for families across the country.”
Commenting, Chancellor of the Exchequer Jeremy Hunt MP said:
“Because the Conservatives are sticking to the plan with the economy inflation is down from 11.1 per cent to 4.0 per cent, meaning we can cut taxes and put more money in people’s pockets to grow the economy.
“Our Budget cuts taxes to reward work, supports small businesses and helps more parents with the cost of childcare to grow the economy and fund public services.
“By sticking to the plan, the Conservatives will deliver a stronger economy to build a brighter future. Labour cannot say what they would do with the economy because they do not have a plan and would take us back to square one.”
ENDS
Notes to Editors
The Conservative Government’s Budget takes the long-term decisions for growth by:
- Cutting taxes for 27 million working people, meaning this year the Conservatives will deliver a tax cut to National Insurance worth £900 for the average worker. The Government will cut National Insurance contributions by two pence from ten per cent to eight per cent. This is in addition to the cut announced at the Autumn Statement 2023, meaning the Conservatives will deliver a tax cut worth £900 for the average worker on £35,400.
- Cutting National Insurance for two million of the self-employed, delivering a total saving of £650 to entrepreneurs and business owners. The Government will cut the main rate of Class 4 NICs to six per cent. Taken with the cut to self-employed National Insurance announced at the Autumn Statement 2023, this is a tax cut of £650 for an average self-employed person on £28,000.
The Conservatives are keeping tax low by:
- The Conservatives have almost doubled the personal allowance and taken three million people out of paying income tax altogether. We have increased the personal allowance by almost double since 2010, up from £6,450 to £12,570 and taken three million people out of paying income tax altogether in 2023-24. This means people are able to keep more of their hard earned money (HM Treasury, Spring Budget 2024, 6 March 2024).
- Corporation Tax remains lower than it was any point under the last Labour government. The average rate of Corporation Tax between 1997 – 2010 was 30 per cent. The average rate of Corporation Tax since 2010 has been 21 per cent (OBR, Corporation tax in historical and international context, March 2021).
ANNEX A – CASE STUDIES
Profession and average salary // Annual saving from double NICs cut
A hard-working family with two earners on the average income of £35,400 each // £1,827
An average full time nurse on £38,900 // £1,053
A senior nurse with five years experience on £42,618 // £1,202
The average police officer on £44,300 // £1,270
A typical junior doctor on £65,000 // £1,508
A cleaner working nights shifts on £21,058 // £340
A typical teacher on £44,300 // £1,270
