Jeremy Hunt made his much awaited Autumn Statement to Parliament this Wednesday, promising to reduce inflation, increase GDP and get more people back to work after the pandemic.
What are the key points from the statement?
National Insurance is set to be cut from 12% to 10% increasing take home incomes for over 27m people across the country. The tax cut will take effect on 6 January.
Class 2 National Insurance will be abolished, saving the average self-employed person £192 a year.
The National Living Wage is set to increase by 9.8% to £11.44, the largest ever increase, as Hunt claims that it will be worth up to £1800 for a full time worker.
The government will also commit £1.3b over the next five years to help nearly 700,000 people with health conditions and disabilities to find work.
However, Hunt also said that people who are not able to find work after ‘18 months of intense support’ from jobseekers will be required to take part in a mandatory work placement to increase their skills and employability.
Round 3 of the Levelling Up Foundation has been extended to include Doncaster, part of a $1b effort to upgrade socioeconomic area.
Other announcements include a 2% increase on duty for hand-rolling tobacco, alcohol duty freeze until 1 August next year and a £7m commitment over the next three years for organisations like the Holocaust Educational Trust.
What do the people of Sheffield think about the statement?
Vicki Wilson, 50, a small business owner from South Yorkshire welcomed the abolition of Class 2 National Insurance: “Times are tough and the cost of living crisis hits those who do not have a salaried job to rely on very hard. I welcome these tax cuts.”
Sara McConnell, a University of Sheffield lecturer and local Jewish community leader, believes that the government’s efforts to combat antisemitism falls short of making a real impact.
Ms McConnell said: “We [the Jewish Community] welcome anything that the government is doing to try and battle against antisemitism, but the reality is that we’re seeing a rise (in antisemitism) and this is going to look as if it’s a drop in the ocean.”
There has been concern that Hunt has failed to address the energy price cap increase. Sarah Champion, Labour MP for Rotherham, commented on X (formally known as Twitter): “Energy price cap will rise in January adding pressure on households. Didn’t mention that in the budget!”
