Rt Hon Sir David Evennett, MP for Bexleyheath and Crayford, has welcomed the Conservative Government’s Autumn Statement for Growth, taking the long-term decisions to reduce debt, cut taxes, reward hard work and back businesses across the country.
With inflation falling, and global economic conditions stabilising, the Chancellor of the Exchequer, Rt Hon Jeremy Hunt MP was able to announce tax cuts for 29 million working people, helping people keep more of their hard-earned money. Employees will see their National Insurance Contribution (NICs) rate cut by 2%. For the average worker earning £35,400 a year, that amounts to a £450 annual tax cut. Taxes for the self-employed will also be cut and reformed, with a reduction in Class 4 NICs from 9% to 8%, and the abolition of Class 2 NICs, saving the average self-employed person earning £28,200 a year £350 in 2024/25. These measures combined total a tax cut of over £9bn per year, which represents the largest ever cut to employee and self-employed National Insurance. The Office for Budget Responsibility estimates these changes will see an additional 28,000 people entering work.
In order to ensure that work always pays, the Chancellor confirmed that the National Living Wage will increase by almost 10% to £11.44 an hour from next April. He also announced the new £2.5bn Back to Work Plan for those with long-term health conditions, disabilities and difficulties finding employment, which will see tough new sanctions for those who can work but choose not to.
The Chancellor also reaffirmed the Government’s commitment to the Triple Lock on State Pensions, meaning that it will increase by 8.5% in April in what is the second biggest ever cash increase. This means the full rate state pension will increase to £221.20 per week – up £902 a year to just over £11,500.
To further support business, Mr Hunt announced full expensing will be made permanent. This means business have their taxes cut every time they invest in the UK and essentially delivers an £11bn per year tax cut and displays the Conservative Government’s commitment to make the UK the best place to start and grow a business. The Government is also freezing the business rates multiplier for small businesses for a fourth consecutive year, saving an average shop £1,650 and extending the Retail, Hospital and Leisure relief to benefit 230,000 properties with almost £2.4bn in support.
Sir David commented: “This Conservative Government has made excellent progress in recent months in tackling inflation. I am delighted this has allowed the Chancellor to be able to cut taxes for individuals and businesses, as well as take the long-term decisions required to strengthen the economy and build a brighter future”.
Rt Hon Sir David Evennett MP 
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