John Baron MP welcomes cut to fuel duty and NI threshold increase

MP: National Insurance rise should still be scrapped

Today the Chancellor of the Exchequer, Rt Hon Rishi Sunak MP, gave the Spring Statement. Amongst other measures, the Chancellor announced that for twelve months fuel duty will be cut by 5p per litre, and from July the income threshold for paying National Insurance will rise to £12,570 – a tax cut worth over £330 a year. The Chancellor also announced further tax breaks for small businesses, and that a penny will be cut in the basic rate of income tax before the end of this Parliament.

John said,

“Having supported the campaign for a cut in fuel duty, I welcome this 5p cut which will help families and businesses across Basildon & Billericay. It is also good news that the National Insurance threshold will be raised further, meaning that people will be able to hold on to more of their pay. The rise in the Employment Allowance is also a step in the right direction, helping small businesses reduce their National Insurance payments.”

“However, it is disappointing that the Chancellor did not announce that he was scrapping the planned increase in National Insurance, which I voted against last September. This will be the wrong tax rise at the wrong time, and despite today’s announcements will still increase the cost of living for many. Given the situation in Ukraine, I was also hoping the Chancellor would announce an increase in defence spending.”