In the 2024 Budget announcement, Chancellor Jeremy Hunt introduced tax cuts to bolster the Conservative Party's prospects. He reduced National Insurance by 2p, following an earlier cut in January. This move was labelled a "con" by Labour, suggesting it would disadvantage many. Significant changes in the Budget included raising child benefit thresholds, introducing a vaping levy, and eliminating non-dom tax status. Despite speculation, income tax was not reduced, but National Insurance for employees was lowered from 10% to 8%, and from 8% to 6% for the self-employed. Child benefit eligibility was expanded, affecting around 170,000 families. The chancellor claimed these NI changes would save an average employee earning £35,000, about £450 annually. Critics, including Labour and the Liberal Democrats, accused the Budget of being a weak attempt to cling to power, failing to effectively address public service issues, high taxes, and zero growth. Some Tories, including former ministers, expressed disappointment over the lack of income tax cuts. The Budget also announced extended support for cost-of-living pressures and a freeze on alcohol and fuel duties, while new taxes on vaping and tobacco were introduced. Public sector efficiency and technology investments, particularly in NHS IT systems, were highlighted as key initiatives.
Budget 2024: Jeremy Hunt cuts National Insurance again as election looms
Written by Super User 08 Mar 2024Additional Info
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