Budget 2012: reaction in Crow country

17:23 21 March 2012

Archant

Billed as a Budget to reduce the deficit, reform tax, support growth and reward work, the Chancellor’s announcements yesterday were met with both support and anger in Crow country.

Changes include raising the level at which workers pay income tax to £9,205, reducing the 50p top rate of tax to 45p and freezing or scrapping tax allowances for pensioners. Businesses will pay less corporation tax which will be cut in stages to 22 per cent by 2014.

Oliver Heald, Herts North East MP said it was good news for jobs and growth.

“I am also delighted that it has been possible to help two million low earners out of income tax altogether. The increased stamp duty on properties worth over £2 million is helping to pay for this and this shows the Chancellor has produced a Budget that is fair and good for Britain.”

But Sally Salisbury of North Herts CAB said raising the personal tax allowance is “an empty gesture” to struggling families on low wages.

“Many in this situation stand to gain the least from this change. Poorer working families who get housing and council tax benefits will not get all of the money in their pocket because as their income goes up, their benefits will go down.”

Les Baker, Royston Labour Party spokesman said it will mean millions paying more so millionaires can pay less.

“There’s been a cut in tax credits, and in a lot of cases, child benefit has been taken away. The introduction of stamp duty on properties worth more than £2m will not raise much as there are only 4,000 house of that price sold each year. There are something like 14,000 people earning more than £1m a year and the cuts will mean a pay rise for them of £40,000 a year.”

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