The Labor Party government is set to debate a petition calling for a significant increase in the income tax personal allowance—from the current £12,570 to £20,000. The petition, hosted on the Parliamentary website, has amassed over 100,000 signatures, triggering the requirement for a formal debate in Parliament.
The petition lays out its case clearly: “Raise the income tax personal allowance from £12570 to £20000. We think this would help low earners to get off benefits and allow pensioners a decent income.” It continues with a pointed critique of the current system: “We think it is abhorrent to tax pensioners on their state pension when it is over the personal allowance. We also think raising the personal allowance would lift many low earners out of benefits and inject more cash into the economy creating growth..”
