Wednesday, 5 December 2012

Key Lib Dem wins at the heart of the autumn statement

It's easy to see the Lib Dem influence on today's Autumn Statement from the Chancellor.

The income tax threshold is going up by even more than was previously planned. That means that, from April the first £9440 that you earn will be tax free. It's tantalisingly close to the Lib Dem manifesto pledge of £10,000 by the end of 2015.

The other key wins are:

  • an end to the policy of regional pay - something which the Chancellor proposed last year and Lib Dems battled against. It would hurt areas like Cornwall hardest of all as we have low pay levels already but very high living costs;
  • the scrapping of the planned 3p fuel tax rise which would hit poorer people in areas without good public transport (like North Cornwall) harder than most;
  • the basic state pension will rise by 2.5% whilst tax relief for top earning pensioners will be cut. This means that the well off will be contributing more to help the least well off
  • the A30 will be dualled at Temple. This is a big bottleneck in the summer and puts off many businesses from relocating to Cornwall. The Local Enterprise Partnership thinks it could be worth £100 million to the Cornish economy.


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