The chancellor, Jeremy Hunt, has pressed the button on a new wave of austerity in an autumn statement that will bring to an end eight years of improved living standards.
Hunt left the three main tax rates unchanged – 20p basic, 40p higher and 45p additional rate – with the first £12,750 of income tax-free and the 40% rate starting at £50,270. However, he did lower the threshold at which Britons start paying the 45p top rate of income tax to £125,140 – a measure that will pull 250,000 people into the top rate.
