There are several key events in the Parliamentary calendar, and last week was one such occasion, with the Chancellor, Rishi Sunak, announcing his Spring Statement, which is essentially a mini-budget.
The statement came against an economic backdrop of a post-covid world, where we’ve had to borrow and spend significant amounts of money to support the NHS, businesses, and individuals alike. The financial challenges we are facing have only been exacerbated due to the illegal Russian invasion of Ukraine. I know people are already feeling the pinch with inflation rising; impacting our bills, food prices, and most dramatically, petrol costs.
Many of the measures brought in by the Chancellor are aimed at helping those most in need with the cost of living. What is clear, is that even with these interventions, the coming months will be extremely challenging for many households. One of the key announcements, especially for areas like ours where many of us rely on our cars, was the cut in fuel duty by 5p for twelve months. Together with the fuel duty freeze, this will save car drivers £100, van drivers £200, and HGV drivers £1,500 this year. The cut came into effect across the UK last week.
Another hugely impactful part of Rishi’s statement was the increase in the National Insurance personal threshold from £9,500 to £12,570 from July, delivering the largest increase in a starting personal tax threshold in British history. This is equivalent to a £6 billion tax cut for nearly 30 million workers and worth over £330 a year starting in July.
We’re also doubling the Household Support Fund to £1 billion to allow councils to support vulnerable families with living costs. If you are struggling there is a wide range of support available to help with rent, energy bills, debt management support, and much more – a good place to start is the Chichester District Council website ‘help with finances’ page, or if you wish to speak to someone call the Citizens Advice Bureau on their freephone: 0808 278 7969.
