Published On: Sat, Nov 2nd, 2019

Tax cuts top of list of Tories’ election sweeteners – but can they afford it? | UK | News

But critics immediately waded in saying the promises would cost the country a fortune. The Tories have plans to raise the starting threshold for paying 40p tax from £50,000 to £80,000 and to raise the threshold for national insurance from £8,632 to £12,500. Other areas believed to be a part of the party’s manifesto are a pledge to continue the fuel duty freeze and extending free childcare for three and four-year-olds.

Mr Johnson may also cut stamp duty on all homes worth £500,000 or less as he attempts to stimulate the property market.

But financial think tank the Institute for Fiscal Studies (IFS) warned that the tax cuts would cost billions of pounds and benefit Britain’s wealthiest the most.

The think tank said that raising the higher-rate threshold in income tax would cost £8 billion a year and would see the Government borrowing £50 billion next year.

The move would take 2.5 million people out of paying the higher rate of tax which would leave only three percent of adults paying the top amount.

The International Monetary Fund has warned the UK that Mr Johnson’s giveaway budget would fail to honour its pledge to bring down the debt ratio.

Senior cabinet minister Michael Gove said there would be a “significant new policy in a number of areas, designed to ensure that people who are worried about the cost of living know that the Government is on their side”.

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This comes as Labour leader Jeremy Corbyn told a rally in Battersea the Tories have “slashed taxes for the richest”.

Business Secretary Andrea Leadsom has said the Conservatives would “let people keep more of their pay, see wages rising and job prospects improving”.

Speaking to The Daily Telegraph, she said: “A Conservative government will always be a tax-cutting government.

“We have raised the personal tax free allowance to let people keep much more of their own hard-earned cash. We will set out more in the manifesto about our ambition for income taxes.”

In term of Brexit, a Tory win would see Mr Johnson’s Brexit deal implemented and then Brexit would take place on or before January 31 2020.

There would then be an Australian-style points system for immigration after Brexit.

A Labour Party win would promise to renegotiate a deal with Brussels and they would then put the deal back to the people in a referendum.

A Brexit Party win would insist on taking the UK out of the EU without any deal.

This election will be the first one held in December since 1923.

There is a belief that the weather could affect the turnout of a December election.

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