“Analysis shows wealthy to benefit from changes to personal taxation” says Khan

"Analysis shows wealthy to benefit from changes to personal taxation" says Khan. Image: Mayor of London/London Assembly

The Mayor of London, Sadiq Khan, has revealed that the Chancellor of the Exchequer’s plans to cut Income Tax and abolish the social care levy would disproportionately benefit the most wealthy in society.

Sadiq highlighted new analysis from GLA Economics that reveals that those earning the least would not benefit at all from changes, the Mayor of London confirmed on Thursday, September 22.

The findings show that abolishing the social care levy and introducing a 1p cut in income tax would lead those earning £150,000 (€172,000)to take home an additional £1,950 (€2,236) a year.

An employee with low earnings of approximately £11,000 (€12,600) a year, would gain nothing from these changes.

The Mayor revealed this new analysis as he called on the Chancellor of the Exchequer, Kwasi Kwarteng to deliver a Fiscal Statement that will hone in on supporting the least well-off in society during the cost of living crisis.

Sadiq Khan said: “Tomorrow’s Fiscal Statement is a chance for the Government to introduce a package of measures that will make a tangible difference to millions of Londoners struggling to make ends meet during this cost of living crisis.

“Rather than focussing on unfunded tax giveaways for the most wealthy, we need to see immediate and comprehensive help for those who need support the most.

Khan added: “The Chancellor should provide free school meals to all primary school children, uplift Universal Credit in line with inflation and introduce a Lifeline Tariff to ensure that the most vulnerable members of our society receive a basic amount of free energy every day.”

“The Government should also give me the power to freeze private rents in the capital, which would save people £3,000 (€3,440) over two years.”


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Written by

Anna Ellis

Originally from the UK, Anna is based on the Costa Blanca and is a web reporter for The Euro Weekly News covering international and Spanish national news. Got a news story you want to share? Then get in touch at [email protected]

Comments


    • M

      24 September 2022 • 02:13

      Sadiq Khan needs to look at his own policies first, it’s hypocritical when low earners are literally fleeced with the congestion charge and ultra low zone charges every day, all this because if they travel to work to avoid the constant strikes and are not wealthy enough to purchase the political correct electric vehicles?

      Reply

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