Jeremy Hunt admits ‘taxes will be higher for a while’ after fury at biggest burden since WW2 and living standards | The Sun
JEREMY Hunt today admitted taxes will stay "higher for a while" as Brits face plummeting living standards.
The Chancellor defended his decision not to slash income tax at yesterday's Spring Budget, instead insisting the government will make cuts "when we can".
He said income tax needed to stay put to pay for household energy bill help and cost of living support packages.
"Those all have to be paid for," Mr Hunt told the BBC.
"I think it is the right thing to do to get through these difficult periods.
"But we have to be honest with people. It means that for a while the burden of tax is going to be higher.
"But Conservatives cut taxes when we can."
Most read in News
Mum who mowed down motorbike thief in revenge hit-and-run jailed for 14 years
My life was ruined after fantasist claimed I raped her – people still believe her
We don't want a Poundland in our posh town…we'll have to push past tracksuits
'World's oldest man' with two horn-like growths on his head dies 'aged 140'
Following the Spring Budget – which included a 6% hike in corporation tax – Britain faces its highest tax burden since WW2.
Taxes as a share of GDP are set to hit 37.7% by 2027-28.
That's a 4.7 percentage point increase since 2019-20.
While the Office for Budget Responsibility predicts the UK will AVOID a recession, living standards are forecasted to plummet.
READ MORE MONEY NEWS
Martin Lewis weighs in on Budget changes to childcare, pensions and energy bills
Hunt hails ‘biggest childcare transformation’ after unveiling 30hrs free care
Typical household disposable incomes are on course to be lower by the end of 2027 than they were pre-pandemic.
Analysis from the Resolution Foundation found that even if the slow growth of the past decade continued, incomes would still be £1,800 higher than projected for 2027.
Torsten Bell, Chief Executive of the Resolution Foundation, said: “Jeremy Hunt’s first Budget was a much bigger affair than many expected, combining improvements to the dire economic and fiscal outlook with a significant policy package aimed at boosting longer-term growth.
“But stepping back the UK’s underlying challenges remain largely unchanged."
Most read in The Sun
Christine McGuinness in tears as she reveals reason she split from Paddy
Prem owner pockets £1.2m after one of biggest bets EVER at Cheltenham
Blow to motorists as car tax to rise from April – check how much more you'll pay
The Spring Budget's winners and losers – how it will affect you and your money
He added: "We are investing too little and growing too slowly. Our citizens’ living standards are stagnant.
"We ask them to pay higher taxes, while cutting public services. No one Budget could turn that around, but it’s time Britain did.”
Source: Read Full Article