The chancellor said that the government’s funding plans would mean spending for each pupil would finally return to 2010 levels, and also announced an extra £200m to continue the holiday activities scheme. Mr Sunak has promised an extra £4.7bn for England’s schools by 2024-25, saying just under £2bn of the new funding would go to help schools and colleges recover from the pandemic. “The stronger the drink, the higher the rate,” he said. But he said some higher-strength drinks would see higher rates.
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Mr Sunak said he would simplify the system of alcohol duties from 15 duty rates to just six – promising lower rates for lower-strength drinks such as rose, fruit ciders, and lower-strength beers. The chancellor said a 5 per cent cut in tax on pints pulled in pubs would reduce the cost of a pint by 3p.
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It falls short of the across-the-board cut to business rates that many Tory MPs had been looking for, while Labour has called for a complete overhaul of the system.Ī planned increase in duty on spirits, beer and wines will be cancelled, said Mr Sunak – claiming it amounts to a £3bn tax cut for the hospitality industry.
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There will also be more frequent revaluations every three years from 2023, a 12-month rate holiday on property improvements, and relief for business owners who install solar panels. A new 50 per cent business rates discount will apply in the retail, hospitality, and leisure sectors, with eligible businesses able to claim a discount on their bills, up to a maximum of £110,000. Mr Sunak announced some changes to business rates. “With fuel prices at the highest level in eight years, I’m not prepared to add to the squeeze on families and small businesses,” said Mr Sunak. Mr Sunak said the planned fuel duty rise would be cancelled – so it will remain frozen at 57.95p a litre until next year.
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“Less than 5 per cent of passengers will pay more – but those who fly furthest will pay the most,” Mr Sunak said. However, a new “ultra-long-haul band” covering flights of over 5,500 miles means long-haul flyers will pay slightly more. While this will ease the burden on claimants who are in work, it does not compensate for the £20-a-week cut the government made earlier this month (worth £6bn), or do anything to help people who are not in work.įlights between airports in England, Scotland, Wales and Northern Ireland will be subject to a new lower rate of air passenger duty from April next year – sparking criticism from climate campaigners hoping for measures that would help to reduce aviation emissions. The chancellor claimed it amounted to a “£2bn tax cut” for low-income families, and promised the changes would come into force within weeks.