Experts said that Rishi Sunak tightened his grip on Britain’s squeeze middle with a Budget that will see it bear the brunt of tax increases for a splurge of public spending.
Experts warned that millions of people will be left worse off under plans unveiled by the Chancellor, with no realistic prospects of taxes falling in the future.
The Chancellor met with resentment over his big-spending economic plan as it was revealed all strata of society will end up paying more in the middle of a cost of living crisis.
Experts said the scale of the spending he announced yesterday would see the state increase to its biggest size since the late 1970s before Margaret Thatcher conducted a decade of reform to bring it under control.
The Institute for Fiscal Studies said middle earners would lose an average of £180 per year, and the Resolution Foundation warned that middle-income households, normally defined as those earning around £30,000 a year, would take a huge hit to pay for strong investment decisions in the wake of the COVID pandemic.
It revealed families will pay an additional £3,000 in taxes during Boris Johnson’s premiership at a time of low growth and decaying wage growth, and it warned that the Government is squaring the circle of a smaller economy post-pandemic, but was also planning on spending slightly more with huge tax increases.
And that small tax cuts were announced including business rate discounts, a lower bank surcharge, reduced alcohol duty and yet another fuel duty freeze, but the big picture is of fast-rising receipts.
With National insurance and Income Tax increases which will kick in next April, while Corporation Tax will rise from 19 per cent to 25 per cent the following year.
By 2026-27, tax as a share of the economy will be at its highest level since 1950 (36.2 per cent), amounting to an increase per household since Boris Johnson became Prime Minister of about £3,000.
Higher taxes will mainly fall on middle and higher-income households.
In the meantime, the Institute for Fiscal Studies said that mounting inflation could wipe out any increases in benefits for the worst off.
Rishi Sunak tried to reassure Tory MPs that he intends to cut taxes before the next election after unveiling his Budget, and in a meeting of the 1922 Committee of Tory backbenchers, he said he wanted to use every marginal pound in the future to reduce taxes rather than boost spending, although he’s only doing what Boris Johnson wants, and Rishi Sunak should resign, rather than be a Boris bag carrier.
They should end foreign aid because they can’t afford it and they should be looking after their own instead, but we should also remember that we are just menials and won’t get to have a say.
Although foreign aid is just a drop in the ocean compared to all the billions they’ve wasted on Track and Trace and contracts to their Tory friends and donors because it’s all a diversion, a divide and conquer technique to get those at the bottom all huffing and puffing, but we keep falling for it.
Governments hate people because they’re frightened of us because there’s more of us, that’s why they acted like demi-gods during this pandemic.
Suddenly we have fewer or no liberties and rights, and now we’re seeing our livelihoods destroyed and the economy trashed, and big pharma is making its biggest play since the Spanish Flu, and the green revolution that they want is being acted out now, and we have no choice in it, and if you defy them, they will cut you off, no job, food or shelter, and if you think this won’t happen, then think again.