Tax cuts benefit 1.2 million people in the North East from today
Families in the North East will see a welcome boost to their finances today, thanks to income tax cuts.
These tax changes will take 52,000 people in the region out of paying income tax altogether, and help 1.2 million people to take home an extra £185 a year.
Hundreds of thousands of graduates will also save up to £360 a year from the raising of the student loan repayment threshold, which comes into effect today.
These are just two of several tax changes this month to help people earn more and keep more of what they earn, including increases to the National Living Wage and State Pension, and freezes on fuel and beer duties.
Chancellor of the Exchequer, Philip Hammond, said: “From today, families in the North East will have more pounds in their pocket and keep more of their hard-earned wages.
“By increasing the National Living Wage, cutting income tax, and freezing fuel duty for the eighth year running, we are boosting living standards for millions of people this April, giving them more choice over how to use their pay packet and building an economy that works for everyone.”
Since 2010, the government has cut income tax for more than 30 million people, prevented 500,000 taxpayers from being dragged into the higher rate of tax, and taken four million of the lowest paid out of tax altogether.
And it’s not just families who will benefit. Britain’s pubs will get a £1,000 discount on their business rates, and the high street will save £2.3billion over the next five years, thanks to a switch to business rates indexation two years earlier than planned.
These positive changes are part of the government’s pledge to create an economy that works for everyone and to continue building the Northern Powerhouse, a super-connected, globally-competitive northern economy.