Hey fam! On Wednesday (26 Nov), Britain's Labour government unveiled a tax-raising budget to fill a £20bn hole in public finances and boost key services like the NHS. But it also means higher taxes for workers. Here's what to know:
Income-Tax Freeze & Bracket Shifts 💸
Chancellor Rachel Reeves froze income-tax thresholds – the earnings point where you start paying more tax. With no adjustments, more people will creep into pricier brackets over time. Imagine topping up your e-wallet (like GoPay or PhonePe): the more you use, the more fees you pay!
Targeted Levies & Charges 🚗💻
• Online gambling faces higher taxes
• Luxury property owners pay a new levy
• Electric car drivers get a mileage-based charge
These measures aim to raise around £30bn extra by 2030–31.
Growth Outlook & Why It Matters 🌐
Britain's growth forecasts have been downgraded, so the focus is on balancing the books without cutting key services. The goal is shorter NHS waits, easing living costs, and better-funded schools and transport.
Tips for Staying Ahead 💡
- Track your side-hustle income and plan for potential tax hits
- Re-evaluate subscriptions or apps that might face new levies (streaming, gaming, and more)
- Follow updates on public services – you might spot faster healthcare or smoother commutes
Bottom line: the UK's new budget is pitched on fairer taxes and stronger public services, but wallets everywhere will feel the pinch. Will these moves spark real change? Let us know! 🤔
Reference(s):
cgtn.com
