Throughout April, Conservatives in Government are introducing tax cuts and benefit reforms. Even though times are tough and Britain has a large deficit to pay down, we want to support hardworking people. That's why we are introducing tax cuts so you will keep more of the money you earn. And why we're changing the benefits system so it continues to support those who need it but is also fairer for taxpayers.
Cutting Income Tax
From 6 April, 24 million people will be paying up to £600 less income tax than they were in 2010.
This is because Conservatives in Government have increased the personal income tax allowance for three consecutive years. The personal income tax allowance is the amount of money you can earn tax-free. As of 6 April, you will not pay any income tax on the first £9,440 you earn.
Because of this, 24 million people are paying up to £600 less tax than they were in 2010 . In addition, 2.2 million of Britain's lowest-paid workers will not pay income tax at all. This means more money stays in the pockets of those who need it most.
Next year, you will be able to keep even more of the money you work for. From April 2014, you won't have to pay income tax on the first £10,000 you earn. This means even more lower-paid workers will keep what they earn and 24 million people will pay £700 less income tax than in 2010.