UK: Rishi Sunak govt announces tax cuts to woo voters

Synopsis

Rishi Sunak promised to cut national insurance costs, which workers pay to qualify for a state pension, still further "so we truly make work pay." But he made no mention of reducing the basic rate of income tax, which would have benefited retirees and savers - to the likely disappointment of many of his Conservative peers who are nervous about losing their seats in the upcoming election.

By AP

Mar 07, 2024, 12:08:00 AM IST

LONDON: British Treasury chief Jeremy Hunt sought Wednesday to bolster spirits within his Conservative Party with another tax cut for 27 million working people, hoping it can turn the political dial for Prime Minister Rishi Sunak ahead of a general election this year. Even though the cut this tax on wages by the same amount in November.

He promised to cut national insurance costs, which workers pay to qualify for a state pension, still further "so we truly make work pay." But he made no mention of reducing the basic rate of income tax, which would have benefited retirees and savers - to the likely disappointment of many of his Conservative peers who are nervous about losing their seats in the upcoming election.

Want a Loan? Get cash against your Mutual Funds in 4 hours

Poll after poll show the Conservatives suffering a defeat to the Labour Party. It's chief Keir Starmer challenged Sunak to call an election for May 2, while describing the budget statement as the "last desperate act of a party that has failed."