Why the budget was bad for Copeland
I was very concerned about the effect on working people in Copeland of the scrapping of the 10p starting rate of tax in chancellor Gordon Brown's budget. This will hit many people in Cumbria: Ordinary working people in this constituency are being taxed to pay for a cheap political headline. Fiscal experts agree that because of the abolition of the 10p introductory rate of tax, the budget will leave working people worse off if they have incomes below the median £18,000 a year and do not have dependent children. The overall impact of income tax & National Insurance changes in the budget will cost working families £340 million a year. Everyone earning between about £5,000 and £18,000 p.a. will pay more in income tax as a result of the changes. There are many working men and women in Copeland who do not have children, or whose children have grown up, and who have incomes in the range that mean they will lose out because of the tax changes in the budget, and particularly the aboliti...