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'Dear Chancellor, deliver a breathing space Budget with fairness at its heart'

'Dear Chancellor, deliver a breathing space Budget with fairness at its heart'
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'Dear Chancellor, deliver a breathing space Budget with fairness at its heart' Our message to Chancellor John Healey: "We need a Budget that fans the embers of economic growth, and that creates jobs for the near one million Neets and older workers alike" Politics is all about choices. But as you stand to deliver your Budget, the plea on behalf of Mirror readers – and countless households across the country – is to make choices that deliver a meaningful difference. We’ve welcomed measures the...

'Dear Chancellor, deliver a breathing space Budget with fairness at its heart' Our message to Chancellor John Healey: "We need a Budget that fans the embers of economic growth, and that creates jobs for the near one million Neets and older workers alike" Politics is all about choices. But as you stand to deliver your Budget, the plea on behalf of Mirror readers – and countless households across the country – is to make choices that deliver a meaningful difference. We’ve welcomed measures the Labour government has already announced, from the £2 bus fare cap to the temporary removal of VAT from electricity bills. And the fact the economy is doing better than many doom-mongers had forecasted gives reasons for hope. Yet hope – a word PM Andy Burnham is keen to repeat under his leadership – doesn’t pay the bills. And those bills are mounting. The most troubling for millions of households is the cost of energy. Already punishingly high, it’s now predicted energy bills could soar by 27% to almost £2,200 in January in the depths of winter. Millions won’t be able to afford it. Many will shiver in their homes, or go hungry to pay for heating. Some people may tragically die as a result. Given the state of public finances, universal help isn’t an option. But targeted help is, whether that’s through hiking the Warm Home Discount or another way. Another bill blowing a hole in many household budgets is ridiculously high petrol and diesel prices. You can’t control deluded Donald Trump’s war in the Middle East but you can avoid an increase in fuel duty. We’re encouraged to hear talk of you increasing the tax-free personal allowance to £13,036 a year from next April for low-income pensioners because of the expected rise in the state pension. But that doesn’t address the issue of what happens to other pensioners who, due to small amounts from other forms of income, are tipped over the tax threshold. We’ve heard a solution is coming, but we need the detail. And while it’s boosted the Treasury coffers, the freezing of income tax thresholds since 2021 has hit workers hard. The Institute for Fiscal Studies says if the personal allowance had risen in line with inflation, it would now stand at £16,070 – £3,500 higher than its actual level. Raising the threshold would be costly but delivers a real terms boost. At least promise not to extend the freeze beyond the current 2031 date. Ending the freeze on Local Housing Allowance rates is also much needed given the jump in rents since it was imposed two years ago. Clearly these things cost money, and the flip side would be tax hikes, so it’s crucial those with the broadest shoulders pay their fair share. Banks are seemingly in the line of fire, but it’s vital lenders don’t pass this on through worse rates for customers. And, let’s be clear, they can avoid doing so given their eye-watering profits. We also need a Budget that fans the embers of economic growth. That means ways to encourage firms to hire and train workers, from the near one million young Neets (Not in Education, Employment or Training) to older people who risk being overlooked. The Budget is rightly jam-packed with an avalanche of numbers, some hard for many people to get their heads around. But other numbers tell their own story, like the more than four million kids growing up in grinding poverty, or the Joseph Rowntree Foundation’s warning that 7.4 million low-income families are unable to afford essential items. So Chancellor, we ask you to deliver a “breathing space” Budget with fairness at its heart. The choices you announce now, along with forthcoming announcements on departmental spending plans and the government’s 10-year vision – will be felt by every person in this country. So please choose wisely. Yours sincerely,
Budget (ORG) John Healey (PERSON) Neets (PERSON) Mirror (ORG) Labour (ORG) VAT (ORG) Andy Burnham (PERSON) the Warm Home Discount (ORG) Donald Trump (PERSON) the Middle East (LOCATION) Treasury (ORG) The Institute for Fiscal Studies (ORG) Local Housing Allowance (ORG)
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