Displaying items by tag: budget

In the 2024 Budget announcement, Chancellor Jeremy Hunt introduced tax cuts to bolster the Conservative Party's prospects. He reduced National Insurance by 2p, following an earlier cut in January. This move was labelled a "con" by Labour, suggesting it would disadvantage many. Significant changes in the Budget included raising child benefit thresholds, introducing a vaping levy, and eliminating non-dom tax status. Despite speculation, income tax was not reduced, but National Insurance for employees was lowered from 10% to 8%, and from 8% to 6% for the self-employed. Child benefit eligibility was expanded, affecting around 170,000 families. The chancellor claimed these NI changes would save an average employee earning £35,000, about £450 annually. Critics, including Labour and the Liberal Democrats, accused the Budget of being a weak attempt to cling to power, failing to effectively address public service issues, high taxes, and zero growth. Some Tories, including former ministers, expressed disappointment over the lack of income tax cuts. The Budget also announced extended support for cost-of-living pressures and a freeze on alcohol and fuel duties, while new taxes on vaping and tobacco were introduced. Public sector efficiency and technology investments, particularly in NHS IT systems, were highlighted as key initiatives.

The UK government plans to implement a new tax on vaping products starting October 2026, announced by Chancellor Jeremy Hunt during the Budget speech. This move aims to deter non-smokers from starting vaping while maintaining vaping as a cost-effective alternative for smokers wishing to quit. The tax's specific details will be determined through a consultation process. Currently subject to a 20% VAT but exempt from excise duty, vaping products will see this change with the new tax. Additionally, the government plans to increase tobacco duty as a one-off measure, ensuring vaping remains less expensive than smoking. This step aligns with the government's broader strategy, including proposed bans on disposable vapes and restrictions on vape flavours and packaging. However, the vaping tax has drawn criticism. Simon Clark from Forest, a smokers' advocacy group, called it counterproductive, and Christopher Snowdon of the Institute of Economic Affairs criticised it as a "cynical cash grab," detrimental to those who have switched from smoking to vaping.

NHS England leaders have responded positively to the £6bn budget increase from Chancellor Jeremy Hunt, aimed at addressing rising demands, tackling the care backlog, and upgrading outdated IT systems. The budget for 2024/25 will see a £2.5bn increase for day-to-day operations, raising the total to £164.9bn, slightly higher than this year's £163.2bn. Julian Hartley, CEO of NHS Providers, viewed the funding as a temporary relief from financial strains, while Matthew Taylor, chief of the NHS Confederation, felt the amount was insufficient to significantly improve the service. Additionally, £3.4bn over three years is allocated to enhance NHS productivity, with £2bn targeted at modernising inefficient IT systems. This investment is expected to save time and resources, potentially leading to £4bn savings over five years. The budget also includes £430m to improve patient access to care and reduce waiting lists, partially through enhanced use of the NHS App. However, adult social care remains underfunded, causing concern among organisations like the Association of Directors of Adult Social Services and Age UK. The budget also acknowledged the need for reform in children's residential care, setting aside £165m to curb profiteering. Yet, it falls short in addressing the housing crisis, with no substantial investment for new social homes and a capital gains tax cut that could negatively impact renters.

With the budget passed, the coalition has much to focus on apart from judicial reform. Pray for God’s priorities to be the government’s priorities, and ask God to show the various ministers how to work in unity as they deal with issues. Ask God to place the coalition's reins firmly in prime minister Netanyahu’s hands, and use his partners to keep him turning Israel onto a more biblical path, while removing any ungodly advisers from him. Ask God to anoint finance minister Smotrich to win the war against Israel's high cost of living and show every ministry how to reduce wasteful spending and increase the effectiveness of their budgets. May national security minister Ben-Gvir use the budget dedicated to reinforce and encourage Israel's police force to do just that - while also removing all unrighteousness from its ranks. And finally, ask God to help the housing industry to make affordable housing readily available. See

The chancellor pledged increasing public spending amid higher than expected economic growth. Whitehall departments will receive a rise of £150bn over the course of this parliament, the largest increase this century. There is extra money for schools, tax cuts for businesses and a cut in air duties for internal flights. A changed alcohol duty will see cheaper sparkling wine and draught beer, and the planned fuel duty rise is cancelled. Amid huge concern over the £20 cut to Universal Credit, changes will be made to let working claimants keep more of their benefits. There is new money for the NHS, a rise in the National Living Wage, and public sector pay rises. The Institute for Fiscal Studies said inflation and higher taxes on incomes would negate small wage increases for middle earners. Low-income households will see the cost of living increase faster than benefit payments. The chancellor acknowledged in his budget that families are under strain: see

Rishi Sunak has set out tax and spending plans to help business and people through the pandemic and support long-term economic recovery. Although the economy shrank by 10% in 2020, it is forecast to rebound in 2021, with projected growth of 4% and a return to pre-Covid levels by the middle of 2022. Pray that these projections will be met or exceeded, and the Government’s actions will fulfil the promises of recovery for those remaining on furlough. Pray for easy access to the promised increased Working Tax Credit and Universal Credit for those in need. May the budget bring relief to the 700,000 unemployed. We can thank Him for £1.65bn to support vaccination rollout and £19m for domestic violence programmes and networks of respite rooms for homeless women. However, the shock of coronavirus on our economy won't be fixed overnight. May God give our Government wise strategies progressively to reduce debt.

In Brussels a high-stakes disagreement has emerged with a jackpot worth the total value of the EU budget until 2027 plus its €750bn Coronavirus Recovery fund. 24 member states and a majority in the EU Parliament are in opposition to Hungary, Poland, and Slovenia over the division of EU funds between member states being linked to the behaviour and the values of individual governments. The EU wants to pass a law that if a member state pursues policies that the EU feels are in conflict with its core values, it will lose access to the funds. Poland and Hungary emerged as democracies from communist dictatorship and both have gone on to elect right-wing nationalist governments, heavily dependent on EU funds. Political opposition and economic reliance has introduced a strain of toxicity into their Brussels relations.

Chancellor Rishi Sunak delivered his first Budget in the House of Commons on 11 March. Parts of it appear to have been written at the last minute as coronavirus spreads across the nation. His spending plans include a £5bn emergency response to support the NHS and other public services with statutory sick pay for all who choose to self-isolate, even if they don't have virus symptoms. Benefit claimants will be able to claim sick pay on day one, not after a week, and there is a £500m hardship fund allocated to help vulnerable people. To try to save businesses from liquidation, firms with fewer than 250 staff will be refunded for sick pay payments for two weeks, and small firms will be able to access ‘business interruption’ loans of up to £1.2m. Business rates will be abolished for firms in the retail, leisure and hospitality sectors with a rateable value of less than £51,000.

Donald Trump is prepared to prolong the current government shutdown because the ‘humanitarian and national security crisis on the southern border’ necessitates funding a wall. This plan is popular with his fanbase, but most Americans oppose it by a 10-to-20 point margin. Trump has Republican support, but Democrats feel they have public support; so the standoff about the shutdown continues. Also, before signing an anti-human trafficking measure on 9 January, Trump said, ‘Israel put up a wall to protect them, and they don’t have a problem any more’. He seems to equate Hezbollah terrorists, Hamas, IS, and the Palestinian ‘second intifada’ attacks with a few thousand migrant families at the Mexican border. See

Italy has refused to back down over its expansionary 2019 budget, which EU chiefs claim breaches previous spending agreements. The indebted nation at first unveiled plans for a deficit budget of 2.4% of GDP, three times the previous administration's target. The European Commission rejected the draft and demanded it be revised to a more realistic level. But the Italian government has so far refused to budge, saying the spending plans are in the best interest of the Italian people. Prime minister Salvini has even threatened to veto the next proposed eurozone budget, in retaliation. However, that budget will be available only to those countries which abide by EU rules about budget deficits and debt; so Italy could be left out in the cold if the dispute is not resolved.