Spring Statement 2022: Measures to tackle cost of living crisis 'unlikely to go far enough'

NI threshold raised

clock • 6 min read
Sunak vies to address worsening cost of living crisis in Spring Statement

Sunak vies to address worsening cost of living crisis in Spring Statement

Chancellor Rishi Sunak has laid out a plan to support families and businesses in the Spring Statement 2022, but some have argued it does not go far enough as the UK cost of living crisis worsens amid rising inflation, while the economic fallout of war in Ukraine is yet to be known.

Sunak pledged to raise the National Insurance threshold, "not by £300, but by the full £3,000", meaning it will be equivalent to the income tax threshold and resulting in a £6bn tax cut for 13 million people. Neil Birrell, chief investment officer at Premier Miton Investors, said: "The chancellor probably managed to avoid being tagged with the phrase "talking a good game on tax cuts" by moving to increase the threshold on National Insurance and promising that the basic rate of tax will be cut in 2024. "However, middle earners will still feel the squeeze. The reduction in growth foreca...

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