Sleaford and North Hykeham MP Stephen Phillips has welcomed today’s Budget as ‘another step on the road to recovery’ in his constituency and across Lincolnshire.
The Chancellor’s speech included: a duty cut for beer, cider and whisky; the abolishing of savings tax for 17 million people; an income tax cut for 27 million people; a continuing freeze on fuel duty; and a major review of business rates.
Commenting afterwards, Mr Phillips said: “We have been working through our long term economic plan, and the economy has been steadily improving throughout Lincolnshire, with thousands more people in work and businesses going from strength to strength.
“This Budget is another step on the road from austerity to prosperity - with support for savers, lower taxes for people in work and a clear plan to make sure Britain pays its way in the world.
“Five years ago, Britain was spending and borrowing too much, too many people were out of work and our economy was on its knees.”
Among the benefits, the budget will help first time buyers with Help to Buy ISAs. In the East Midlands, this could help over 85,000 people to buy their first home in the next five years by giving them a 25 per cent bonus of the amount they have saved to help with the cost of their first home. Couples getting the full £3,000 will be able to receive a Government bonus worth 25 per cent of their deposit.
It will back savers with the Personal Savings Allowance. In the East Midlands, giving basic rate taxpayers a £1,000 Personal Savings Allowance and higher rate taxpayers a £500 Personal Savings Allowance could remove up to 1.23 million people from savings tax liability.
The Government will give more choice to savers with New Flexible ISAs. In the East Midlands, the latest figures show there were 1.65 million ISA holders that could benefit from being able to invest in a wider range of assets and 804,000 cash ISA subscribers that could benefit from being able to take money out of their cash ISA and put it back later in the year without losing any of their tax-free entitlement.
It will be increasing the period over which self-employed farmers can average their profits for income tax purposes from two to five years. In the East Midlands, this could benefit 2,400 individual farmers.
There will be more funding for flood defences. As a result of decisions made in the Autumn Statement, an additional £13.5 million will be made available in the first four years of the flood and coastal erosion programme, enabling 21 schemes to be delivered at least a year sooner than originally planned and a further four new schemes to be included.