Jeremy Hunt urged it’s ‘high time’ for tax cuts overlooked in Spring Budget | Personal Finance | Finance

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Chancellor Jeremy Hunt has been criticised for not going far enough with in his Spring Budget.

Experts at wealth firm True Potential spoke of their disappointment there were no changes to or income tax.

Neil Rayner, head of advice, told : “The budget was a missed opportunity to make meaningful changes on inheritance tax.

“With rising property prices, it’s high time the Government considered raising the threshold to alleviate the burden on middle-class families looking to pass on their hard-earned assets to the next generation.”

The Chancellor did announce a 2p cut in National Insurance, following a previous 2p cut in the Autumn Statement last year, providing total savings of around £900 a year for a person on the average salary.

But Mr Rayner said more action is needed to reduce the tax Britons pay on their earnings. He said: “Though the cut in National Insurance is a welcome relief, it doesn’t replace needed action on income tax.

“Financial pressures on individuals and families are intensifying, and so a comprehensive approach to tax relief is necessary.

“Lowering income tax rates, alongside reducing National Insurance, would provide a much-needed boost to disposable incomes, empowering people to better manage their cost of living and invest in their futures.

“It’s about creating a balanced and fair tax system that genuinely supports economic growth and enhances the financial well-being of all citizens.”

The expert was also unimpressed by the plans for a British ISA, which would provide an extra £5,000 ISA allowance, with the funds to be invested in UK businesses.

Mr Rayner said: “The Government’s Great British ISA adds unnecessary complexity to the investment landscape.

“Instead of adding £5,000 of room to ISAs, limited only to British companies and only after the original £20,000 ISA cap is reached, it makes more sense to index increases to the general ISA allowance to inflation, ensuring savings can rise in step with the broader economy.

“In order to guarantee the strongest possible returns, any increase in ISA limits should not be tied to geography.

“While most Britons will want to support British business, they are investing to get the best return, and the FTSE 250 was down last year where other indices were up so global diversification is the key.”

The Government is currently running a consultation on how the British ISA would work, which is running until June.

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