More than 130,000 Manchester workers to benefit from income tax cuts – praised as ‘real help for ordinary people’

By Sam Richardson

More than 130,000 workers across Manchester will benefit from cuts to income tax being implemented today.

John Leech – MP for Manchester Withington – welcomes the cuts, as he believes they are a big step towards the Liberal Democrat goal of a fairer tax system.

The Personal Allowance – also known as the Income Tax threshold – is to be raised to £9,440, which is the largest increase there has ever been.

This will mean that more than 14,000 people in Manchester will pay no income tax at all.

Mr Leech said: “This Income Tax cut is real help for ordinary people in these difficult times.

“It is evidence of how in the Coalition Government, the Liberal Democrat priority is to create a fairer society and a stronger economy, enabling everyone to get on in life.”

This means that 133,800 basic rate taxpayers in Manchester will see their Income Tax slashed for the third year running.

Eleanor McGrath, Campaign Manager of TaxPayers’ Alliance, said: “The rise in the personal allowance threshold is a welcome relief for people struggling with the high cost of living and should help ease the pressure on family budgets.

“However, our tax system is still far too complicated and must be simplified. Reforming the tax system is essential for easing the burden on families struggling to make ends meet.”

Zoe Woodall, a 26-year-old university student, said: “Once the tax threshold goes up my mum won’t have to pay any income tax, which will obviously help our household.”

Currently the total Income Tax cut since Labour’s period in power stands at £600. Under them, the Income Tax threshold was just £6,475.

In April 2014 the threshold will rise once more to £10,000.

Mr Leech said that people cannot trust Labour to make the right decisions on the economy.

He added: “Labour now stand on the side-lines denying their responsibility for the economic mess they created.”

These comments were slammed by Simon Danczuk, Labour MP for Rochdale.

He said: “For John Leech to boast about economic competence at a time when growth forecasts have just been downgraded again beggars belief and shows the Lib Dems have no shame.

“John Leech is part of a Government that led the UK into a double dip recession and has presided over no growth.

“He talks about April 6 as a symbolic day of economic fairness but neglects to mention that this is when big tax cuts to millionaires come into place, a policy supported by his party.” 

Mr Leech also attacked the Conservative government, claiming: “You can’t trust the Tories to deliver a fairer society.

“It is thanks to Liberal Democrats that 24million basic rate taxpayers are getting an Income Tax cut on 6 April.

“At the same time, Liberal Democrats in the Coalition are cracking down on tax avoidance and ensuring the wealthy pay their fair share.”

Picture courtesy of Images of Money, with thanks.

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