Cheers! MP raises a glass to increased tax allowance

MP Greg Mulholland

MP Greg Mulholland

First published in News Ilkley Gazette: Photograph of the Author by , Ilkley/Otley Reporter

Local MPs have given their reaction to George Osborne’s 2013 budget.

Greg Mulholland (Lib Dem, Leeds North West) hailed both the scrapping of the annual beer duty ‘escalator’ and the decision to raise Income Tax Personal Allowance to £10,000 next year.

The Otley-based MP said the increased personal allowance, now being introduced a year earlier than expected, would help 296,000 people across Leeds.

He said: “We want to see fairer taxes, which is why we made raising the tax-free allowance our number one priority at the General Election.

"When times are tough, with rising bills and wages not keeping pace with inflation, we want to give people real, practical help.

"Cutting income tax will not deal with all those problems, but it will help."

As chairman of the All Party Parliamentary Save the Pub Group, he was also pleased to hear the Chancellor confirm the ending of the yearly beer duty escalator, along with a 1p reduction in beer duty.

Ilkley Conservative MP Kris Hopkins said the Chancellor’s budget was “responsible but creative”.

“The cancellation of the planned rise in fuel duty is especially welcome, and now makes a litre of petrol 13p cheaper than under Labour’s plans,” he said.

“So too is the scrapping of the beer duty escalator, coupled with an unexpected 1p reduction in beer duty itself.

“The announcement of a £10,000 personal tax allowance from next year is tremendous news for everyone in work, and will take a very large number of people out of tax altogether.”

Horsforth and Aireborough Conservative MP Stuart Andrew MP welcomed the fuel duty freeze and the rise in the personal income tax allowance to £10,000 in April 2014.

He said: “This is a Budget that is delivering for families who want to work hard and get on in life. Scrapping another of Labour’s planned fuel duty increases will make a huge difference to the 2.7 million drivers in Yorkshire and Humberside.”

He said the budget was also good news for businesses and employers. A new Employment Allowance will take £2,000 off the National Insurance bill of every employer – open to businesses, charities and community amateur sports clubs.

Mr Andrew added: “This is fantastic news for businesses in my constituency. The Employment Allowance will make it easier and cheaper for firms to hire people – an employer could hire four people working full-time on the minimum wage without paying any National Insurance.

“These and the other business measures in the Budget are exactly what businesses need to hire, to expand and to grow.”

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