5 Key Announcements From Rishi Sunak's Spring Statement

The chancellor is under pressure to help people cope with the cost of living crisis.
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Under pressure to provide help for the cost of living crisis that has already hit people across the country, Rishi Sunak unveiled a series of measures in his spring statement to parliament on Wednesday.

Here are five of the key announcements from the chancellor:

National Insurance

The threshold for paying National Insurance will increase by £3,000 from July.

Sunak said this was a £6bn personal tax cut for 30 million people across the UK. A tax cut for employees worth over £330 a year. And he told MPs it was “the largest single personal tax cut in a decade”.

Income tax

The chancellor promised to cut the basic rate of income tax from 20p in the pound to 19p before the end of the current parliament, in 2024. If fulfilled, the cut would come into force shortly before the the expected date of the next general election.

Fuel duty

Fuel duty will be cut by 5 pence per litre until March next year from 6pm on Wednesday evening.

The Treasury said over the next 12-months the average car drive would save £100, the average van driver would save £200 and the average haulier would save £1,500.

Household Support Fund

The chancellor said the the Household Support Fund would be doubled to £1bn.

Under the scheme, money is given to local government for them to provide help to people who are struggling.

It is up to local authorities to specific what the money can be used for, but it is designed to help people pay for food, energy and water bills.

VAT on green improvements

The chancellor said homeowners will no longer have to pay 5% VAT on improvements such as solar panels, heat pumps, or insulation installed. Instead they will pay zero.

Sunak told MPs this would mean a family having a solar panel installed will see tax savings worth over £1,000. And savings on their energy bill of over £300 per year.


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