New analysis reveals that the UK is headed for its largest tax increase in half a century due to the freeze on personal thresholds and surging inflation.
The Resolution Foundation has projected that taxpayers will contribute £40 billion annually by 2028, a significant increase from the £30 billion forecasted at Chancellor Jeremy Hunt's budget announcement in March. The government's policy entails maintaining the freeze on income tax and national insurance thresholds until 2028.
This development comes as Hunt dismissed the possibility of substantial tax cuts this year, despite calls from within the Tory party for a pre-election giveaway at the Conservative Party conference.