Theresa May has welcomed a new tax cut announced in the Budget last week. From April 2015 the personal allowance will rise to £10,500, cutting taxes for 25 million people in the UK, and taking another 290,000 people out of paying income tax altogether. In the Maidenhead constituency, 43,883 people should benefit from the tax cut next year – and 419 more people will be taken out of income tax altogether.
Rises in the personal allowance since 2010 mean that by April next year a typical basic rate taxpayer will be paying £805 less in tax than they would have been. Since the Government came to office, 3.2 million people taken out of income tax altogether.
The Budget measures do not result in any additional higher rate taxpayers. The full benefit will be passed on to higher rate taxpayers, meaning everyone earning up to £100,000 will gain equally and will pay less tax because of this tax cut.
Commenting, Theresa said: “I am delighted that the Chancellor has announced another income tax cut. Over 40,000 people in Maidenhead and the local area will benefit from this announcement, and hundreds will be taken out of the income tax system altogether. This means people keeping more of the money they’ve worked hard to earn, giving them and their families more financial security for the future.”