Chancellor to raise tax allowance

The Chancellor is likely to significantly increase the personal tax allowance in his Budget speech today, reports suggest.

The BBC reports the threshold for income tax is to rise to £9,205 - which could benefit millions of people. George Osborne - who will give his third Budget speech at 12.30pm today - is also expected to announce a cut in the top rate of tax from 50p to 45p, delayed for one year. It is thought these measures will be paid for by ending "tax reliefs and loopholes" for the rich and potentially raising property taxes, the report said. The income tax threshold was increased by £1,000 to £7,475 in April 2011. An additional £630 rise, to £8,105 was due net month. Increasing the income ta...