I am really pleased to see that after the twin shocks to our economy caused by the covid crisis and the war in Ukraine we have halved inflation, are growing the economy and reducing debt – making the Chancellors Autumn Statement for Growth possible. As a Conservative I firmly believe that businesses underpin our economy and support the public services we all depend upon and the welfare system that provides such an important safety net.
The biggest package of tax cuts in a single fiscal event since the 1980s with incentives and support for business growth are exactly what is needed at this moment and are only possible because the Chancellor and the Prime Minister have been so disciplined in managing our economy through these turbulent times.
2.7m workers including many in Blyth Valley will benefit from a 9.8% increase in the National Living Wage to £11.44 per hour with our youngest workers getting an even larger percentage rise. Cutting the rate of National Insurance by two percentage points puts money back into the pockets of working people and simplifying and cutting NI for the self-employed makes life easier for our smallest businesses.
Business rates changes will help many essential small businesses in Blyth Valley – particularly those in the retail and hospitality sectors. Tax incentives for businesses to invest will increase productivity in our economy which, although it has had overall faster growth than most G7 economies since 2010, has not done so well in productivity.
There’s good news for people who receive Government support with average increases for families receiving Local Housing Allowance of £800 per year and a full increase of working age benefits of 6.7% - an average increase of £470 per year. I’m really pleased to see that we can afford to maintain the triple lock for pensioners with an increase of 8.5% - increasing the basic State Pension by £3,750 since 2010.
There will be further cost of living payments to 8 million households receiving eligible means tested benefits, to 8 million pensioner households and to 6 million people receiving eligible disability benefits.
Reforms to the welfare system that offer intensive support to people to get back to work and find work that their own personal circumstances allow them to do are also welcome. An active working economy has high growth, rising incomes and better mental and physical health. This is a great Autumn Statement for Blyth Valley.
