NI to be cut

hackneyfox

hackneyfox

Roofer
Apparently 2p cut to NI means 28 million people will be about £400 a year better off. That's working on an average salary of £32570
Due to them not increasing tax thresholds since 2021 by 2028 those 28 million will be £3900 worse off.
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Cutting NI doesn't help those on benefits, low paid or those who have continued to work after their retirement age.
 
They raised National Insurance by 1.25% as recently as April 2022. Just giving back what they raised because they are trying to make themselves look better prior to a forthcoming general election. “A compassionate Conservative Government” fibbed the Chancellor today. Yeah righto!
 
borebage53 said:
They raised National Insurance by 1.25% as recently as April 2022. Just giving back what they raised because they are trying to make themselves look better prior to a forthcoming general election. “A compassionate Conservative Government” fibbed the Chancellor today. Yeah righto!
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To be fair Kwarteng announced the 1.25 percentage point rise would be reversed from 6 November 2022.
It's the not increasing the thresholds that has hit a lot of people, more have started to pay tax and more are now in the 40% band than before.
It was generally a given that they increased each year.

Banging on about how 'they' had halved inflation, that was down to the cut in fuel prices BUT inflation is still at 6.4%, we'll still be worse off just not quite as badly.

"The OBR (Office for Budget Responsibility) says in its report: "The chancellor spends virtually all of this on a 2p cut in NICs [National Insurance Contributions], permanent tax relief for business investment, and further welfare reforms, leaving debt falling by a narrow margin in five years."

and...

"On inflation, the OBR now does not expect that to fall back to the Bank of England's 2% target until 2025."

and...

"The tax burden is still set to rise to a post-war high, according to the Office for Budget Responsibility (OBR).
It says the largest contribution to that is the freezing of most income tax thresholds, so they don’t rise with inflation.
That so-called fiscal drag (the "drag" comes from people being dragged into higher tax brackets than they otherwise would have been - or having more of their income caught in a higher bracket) will net the Treasury £45bn by 2029 and create four million new income tax payers, according to the OBR.
Compare that £45bn gain to the cut in the main National Insurance Contribution rate - which will cost the treasury £10bn.
In effect, that tax cut is being funded by raiding our paycheques."
 
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The target set for inflation is 2%, which the OBR says will be hit during 2025.

Ultimately, the OBR says living standards, as measured by real household disposable income per person, are forecast to be 3.5% lower in 2024-25 than their pre-pandemic level - the largest reduction in real living standards since official records began in the 1950s.
 
You were all loving it getting paid to stay at home during the plandemic. If you want to talk about equality how about starting at those of us who worked through the bollocks, with a large majority of them on low wages unable to claim nothing other than sickness benefit (after the first three days of illness) even when they were told to stay at home if they tested positive for Covid but felt ok.
Lots of folk had the arse drop out their living standards then.
 
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