Julia Lopez has welcomed a tax cut for working people thanks to the long-term decisions taken by the Conservative Government at the Autumn Statement for Growth.

Having met their target to halve inflation, the Conservative Government are now able to cut taxes. Therefore, on 6 January 2024, employee National Insurance Contributions for 27 million working people was cut from 12% to 10%, delivering a tax cut of £450 for the average worker earning £35,400. As well as simplifying the tax system by abolishing Class 2 NICs.

In addition, the Conservative Government will also cut National Insurance for the Self Employed later this year, delivering a total average saving of £340 a year.

As an example of the effect these changes will have for those in work; a senior nurse with five years of experience will receive an annual gain of £600; a typical police officer will receive an annual gain of over £630; a typical junior doctor will receive an annual gain of over £750 and a household with two earners on the average income of £35,000 will be £900 better off a year.

This record cut to National Insurance will be worth nearly £1,000 for households, while overall this is a tax cut for 29 million working people worth £9 billion per year. Based on the latest OECD data, these changes will mean the personal taxes of those on average salaries will be the lowest among all G7 countries.

This tax cut is only possible because of the long-term, difficult decisions the Conservative Government has taken to cut inflation and strengthen the economy. Most crucially, these changes to National Insurance mean people will have more money in their pockets, helping to grow the economy and ensuring work always pays under a Conservative Government.