This Autumn Statement is a turning point for our economy as we have moved from recovery to stabilisation and now towards growth.
It takes time to recover from the number of international shocks and setbacks we have encountered as a country, and we continue to see globally. The steady hand we have seen from the Chancellor in the past year, led by the pragmatic leadership of our Prime Minister, may not have set anyone’s pulses racing, but this period of stability has been vital for our long term economic prospects.
Today the Chancellor announced 110 welcome measures for business investment and growth whilst the headline personal tax cuts will help every hard working person in North Devon. By cutting the main rate of National Insurance Contributions from 12% to 10%, the average UK worker will receive a £450 a year tax cut. Abolishing an entire class of NICs for the self employed, and cutting the rate of the NICs top rate from 9% to 8% will mean an average total saving of around £350 for someone self employed, earning £28,000 a year in North Devon.
We have seen a plan for growth and a plan for getting people back into work. We have increased the National Living Wage, increased working age benefits by the full 6.7%, and maintained the triple lock as promised which will see the state pension increase by £8.5% and importantly for many people in North Devon, we have increased the Local Housing Allowance.
It was essential that we saw an extension to the Business Rates reduction for small businesses and our hospitality industry and I am sure many will welcome a further extension of the freeze on alcohol duty. There is more to do in supporting hospitality and we can all help by supporting our local bars, pubs and restaurants over the coming festive season.
Having been at the forefront of campaigning for the ‘Saying Pants To The Tax’ campaign I was pleased to hear confirmation that the Chancellor has extended no VAT on period products to include period pants. They are essential for many women and girls and have the bonus of being better for the environment than disposable products.
Overall, I warmly welcome this statement which shows the economy is moving in the right direction, but one statement was never going to fix every issue or address everyone’s concerns. There is more to do on many fronts, for the country and for North Devon, but we should all welcome that the economy has now turned a corner and these and today’s Statement brings positive changes and benefits to our local businesses and our wallets.
Selaine Saxby, MP for North Devon
