New research has revealed that Conservatives in Government are cutting income tax for 41,366 people in Chelsea & Fulham in 2013. In fact, this April, the Government will lift a further 1,708 local people out of tax altogether.
The Government is also reforming Labour’s something-for-nothing welfare culture, capping the amount any individual household can get in benefits at £26,000 and capping the amount by which most benefits are increased to 1 per cent. Labour opposes both these reforms.
Benefit levels have risen twice as fast as average earnings in recent years, and are up some 20 per cent since the financial crisis, while average earnings have only gone up 10 per cent over the same period. That’s why the Government is:
Increasing the personal allowance. To support those on low and middle incomes, the personal allowance will increase by a further £235 to £9,440 in April 2013. This will benefit 24.4 million people. In total, 2.2 million people will have been taken out of income tax altogether.
Introducing a Bill to uprate benefits by a maximum of 1 per cent. We need a welfare system that is fair to the working people who pay for it. For the next three years, Government will uprate most working age benefits and tax credits by 1 per cent.
Protecting those with the greatest need. Disability Living Allowance, Attendance Allowance, Carer’s Allowance, Incapacity Benefit and Severe Disablement Allowance are not included in the 1 per cent cap. These benefits will be uprated by the CPI rate of inflation as normal.
Putting welfare spending on a sustainable path. Overall, these measures will save £2.8 billion by 2015-16, putting welfare on a sustainable path and restoring fairness for hardworking taxpayers.
Greg Hands M.P. commented: “If you want to work hard and get on, the Conservatives are on your side. Your taxes will be cut so you keep more of the money you’ve earned and you won’t see benefits increase by more than your earnings.
“Labour wants benefits to go up by more than working people’s incomes. That isn’t fair. The Government is ending Labour’s something-for-nothing culture.”