Room to manoeuvre

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Hunt’s headroom
The chancellor received a boost from the ONS this week as new figures revealed that he’s got an extra £9.2 billion to play with. The new figure comes off the back of a record monthly surplus for the treasury of £16.7 billion.
In comments that were carried by the Sun ([link removed]) , Mail ([link removed]) , and Daily Telegraph ([link removed]) , our chief executive, John O’Connell, rightly identified that: “A record high tax burden is filling the Treasury’s coffers like never before, as inflation and frozen thresholds drag millions more into higher bands.”

Naturally, we had some suggestions for what Jeremy Hunt can do with this cash. While rightly warning that borrowing is still at worrying levels ([link removed]) , in the Express, our investigations campaign manager, Joanna Marchong, wrote: “The government can afford tax cuts, and it is only right that they focus on cuts that will benefit as many people as possible. A mere 1p cut to income tax is within the government’s budget and would benefit millions. If the chancellor wanted to be bold, he could cut 2p and lift frozen thresholds.”

Taking our message to the airwaves, the “magnificently named” TPA head of research, Darwin Friend sat down live in the GB News studio ([link removed]) . As Darwin explained: “Let’s go for 2p income tax cut now that will really help people with the everyday staples… They’re trying to spend it on their weekly shop, their energy bills, their mortgages, which have all gone up recently. They really need that money right now to help them out!”
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Though debt undoubtedly remains a growing problem for the UK, the damage of the record-high tax burden must be addressed. Cutting income tax or unfreezing the thresholds would give hard-pressed taxpayers the break they deserve. If you agree with us, click here to sign our petition to cut income tax ([link removed]) and we’ll deliver it directly to the treasury in advance of the budget.

You can back the TPA’s work today by clicking here to donate ([link removed])
TaxPayers' Alliance in the news
Stress-pay for strikes?

Just when you think you’ve heard it all, the chief executives of NHS trusts have claimed they deserve a pay rise thanks to the stress of dealing with strikes ([link removed]) . Despite their average pay already exceeding £200k, these NHS fat cats think taxpayers should shell out even more while millions of patients languish on waiting lists.
John was having none of it ([link removed]) when he told the Daily Mail: “Chief executives are using the strikes as an excuse for a cash grab to line their own pockets. If they had any shame they'd withdraw this request.”
Council tax rises incoming

It’s that time of year again when local authorities start setting their council tax rates for the year ahead. Once again, it looks like taxpayers are in for a rough ride ([link removed]) . Data from the County Councils Network suggests around 95 per cent of councils will be hiking tax by the maximum amount.
Speaking to the Daily Express, our head of campaigns, Elliot Keck, blasted the latest proposals from council bigwigs ([link removed]) : “Financial mismanagement by local councils has been mercilessly exposed in recent months, and town hall bosses are scrambling to plug the gap.” It shouldn’t fall on taxpayers to pick up the tab when councils fail to balance the books.

You can back our campaign to stop council tax rises here. ([link removed])
Costa del Stretford

Speaking of councils and how they spend your money, Trafford borough council clearly need to sort their priorities out. Despite claiming to have a £288 million hole in their budget, they’ve managed to find the cash for three wooden sun loungers overlooking a dual carriageway ([link removed]) .
Speaking up for local ratepayers, Joanna slammed the spending ([link removed]) telling the Manchester Evening News: “Local taxpayers will be furious with this outrageous waste of precious funds and will find it hard to relax on this roadside. The council’s finances are in serious trouble, yet town hall bosses have their heads in the sand.” Town hall bosses need to cut out these pointless pet projects and focus on delivering frontline services.
Blog of the week
How does the UK compare to G7 nations for cutting income tax?

In this week’s blog ([link removed]) , TPA wonk, Jonathan Eida, has taken a look at how the UK compares to other countries when it comes to cutting income tax.
It’s been more than 15 years since the UK last cut the basic rate, but our competitors in the G7 have been much more keen to do so. As Jonathan observes: “With the UK lagging behind its G7 counterparts, it’s surely time for a change in direction. With the Chancellor’s budget being unveiled on 6th March, a cut to the basic rate of income tax should be announced, bringing the UK more in line with its G7 peers.”

Click to read more ([link removed])
War on Waste
The generous pay and perks of civil servants have long caught our attention. A TPA investigation ([link removed]) this week revealed that at least £323 million of paid holiday was carried forward by mandarins between 2019 and 2023, a far cry from the ‘use it or lose it’ policy widely seen in the private sector.

Public sector workers should not be getting perks that ordinary taxpayers don’t enjoy.

Send me your examples of wasteful public sector spending (mailto:[email protected]?subject=Wasteful%20spending)

Benjamin Elks
Grassroots Development Manager

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