Hunt’s winners and losers ‘I don’t think I’ll ever be voting for them again’

Taxpayers: While income tax rates were left unchanged, Mr Hunt cut National Insurance. The main rate will fall from 12pc to 10pc on Jan 6. Twenty- seven million people will benefit; someone who earns the average wage of £35,000 a year will save £450 a year.

The self- employed will have their National Insurance contributions cut from April next year. “[It will be] a tax cut of £ 350 for the average self- employed person earning £28,200 a year,” the Chancellor said. Class 2 NI is to be abolished; Class 4 contributions will be cut by one percentage point.

Isa savers: Savers and investors will be able to open more than one Isa of the same type each year. The Government also intends to permit fractional shares to be held in Isas, which will make it easier to invest in companies whose share price has risen strongly. A single share in AstraZeneca, for example, costs about £100, while a share in Warren Buffett’s company, Berkshire Hathaway, costs about $548,000 (£437,000).

Investors in shares:

Mr Hunt is to allow companies to claim more generous tax breaks when they invest in assets such as machinery.

All else being equal, their lower tax bills should mean bigger profits for investors.

Landlords:

Property investors can support for businesses included a permanent extension of “full expensing”, which allows companies to reclaim up to 25p for every pound invested.

Yet after he raised the rate of corporation tax from 19pc to 25pc in his March Budget, small business owners said the support had come too late.

Andrea Zuccaro, who owns a boutique hairdressing salon in Mr Hunt’s South West Surrey constituency, said he was “disappointed”, especially after small businesses like his were “left behind” during the pandemic.

He said: “I was hoping for a cut to VAT – say drop it to 15pc for six months – which would have been useful for salons like mine and really boost businesses. It’s a simple one to do.

“It would have been an automatic expect to benefit from the rise in housing benefit in line with inflation announced by the Chancellor.

Pensioners: State pensions will rise by 8.5pc, in line with the normal measure of earnings. Stripping out the effect of bonuses from the figures had been considered; it would have meant a lower increase of 7.8pc. The full new state pension will therefore increase from £203.85 a week to £221.20, or £11,502 a year. The decision means that the “triple lock” will be adhered to.

The low- paid: The National Living Wage is to rise by more than £1 an hour to £11.44 an hour from April. It is currently £10.42 an hour for workers aged over 23.

Mr Hunt said the rate will also apply to 21 and 22-year-olds for the first time. It means a full-time worker aged 23 on the minimum wage will receive a rise of £1,800 a year. A 21-year- old will see an effective £2,300 annual rise.

Higher earners: Up to 338,000 taxpayers will no longer have to submit a tax return every year after the Government changed the rules for higher earners.

The Government used to require those earning more than £100,000 to file for self assessment. The threshold was raised to £ 150,000 in April and has now been abolished entirely from 2024-25.

Pension savers:

The Government will

‘They are trying to bribe people to vote Tory with more money. It’s very sad’ consult on plans to allow workers to choose the company that manages their workplace pension so that they can avoid ending up with multiple pots when they move job.

Benefit claimants ( but see also ‘losers’):

The Chancellor confirmed that he would increase benefits in full by 6.7pc, in line with September’s inflation figures, after considering using October’s lower figure of 4.6pc.

LOSERS Higher- rate taxpayers and those close to the threshold:

The freeze on income tax thresholds has combined with wage rises to drag many more workers into higher tax bands.

Bereaved families: The Chancellor did not change inheritance tax allowances, which remain frozen.

Benefit claimant: The Autumn Statement included major reforms to force more benefit claimants to look for jobs. A £2.5bn Back to Work Plan will help up to 1.1m people with long-term health conditions, disabilities or longterm unemployment to look for and stay in work.

Smokers: Smokers of roll- up cigarettes will pay almost a fifth more for tobacco after Mr Hunt increased the duty on rolling tobacco b y 17.4pc. feelgood factor for people ahead of Christmas and put more money in my clients’ pockets. I’ve met Mr Hunt several times, he’s a nice man. But there weren’t many giveaways there.”

Tory voter Mr Zuccaro is now considering switching his vote to Reform [UK]: “The Tories would rather lose to Labour than move itself more to the Right. It’s lost its core values. Many feel a bit politically homeless now.”

Interior designer Jane Webster, 55, who runs a small business in Mr Sunak’s constituency, said the tax cuts were “a drop in the ocean” for her.

She said: “I don’t think I’ll ever be voting for them again after this.

“If they had done something for small businesses, like reducing VAT, I would have reconsidered, but I don’t think they care.”

CHRISTOPHER WAY, 87