Public Finance: Wales

(asked on 31st March 2022) - View Source

Question to the HM Treasury:

To ask the Chancellor of the Exchequer, whether he has made an impact assessment of the potential effect of measures included in the Spring Statement 2022 on Wales.


Answered by
Simon Clarke Portrait
Simon Clarke
This question was answered on 25th April 2022

The Chancellor’s Spring Statement on 23 March 2022 announced a number of measures to support households and businesses in every region and nation of the UK and to relieve the immediate pressure on our cost of living. It sets out that taxes are being cut, debt is falling and public spending is increasing.

For example, raising the National Insurance thresholds is a tax cut for 1.2 million workers in Wales, saving the typical employee over £330 a year, and the 1ppt cut to the basic rate of income tax from 2024 will benefit 1.5 million taxpayers in Wales.

Further support for UK households and businesses included the £1,000 increase to the Employment Allowance, which will benefit around half a million businesses across the UK, as well as the cuts to fuel duty on petrol and diesel, by 5p per litre, for the next 12 months.

In addition to this UK-wide action, the Chancellor also announced that the UK government is providing the Welsh Government with an additional £27 million through the Barnett formula in 2022/23 as a result of measures announced in the Spring Statement.

Reticulating Splines