The Prime Minister has announced a 1.25 per levy on income to pay for the government’s committment to Health and Social care which will begin next April.
Announcing in the House of Commons that the levy will raise £36 billion over the next three years along with a 1.25 per cent levy on dividends.
Boris Johnson says he is setting out the “biggest catch-up programme in the NHS’s history” and the NHS will aim to treat 30% more elective patients by 2024/25 than before Covid.
Capacity in the NHS will be able to increase by 110% by the year 2023/24, Johnson said adding that if the government didn’t act, waiting lists would reach 13 million people by the end of the year.
On Social care from October 2023 nobody will have to pay more that £86,000 for their social care, the Prime Minister announced.
Currently anyone with £23,250 in assets has to pay for their own social care.From October 2023 this threshold will drop to £20,000.Anyone with assets between £20,000 and £100,000 will have to contribute to their care, but will also receive means-tested support.
Johnson said that he would protect people from the “catastrophic fear of losing everything”
“No Conservative govt wants to raise taxes, I will be honest I accept this breaks a manifesto commitment. It is not something I do lightly but a global manifesto wasn’t in anyone’s manifesto” the Prime Minister said
A typical basic rate taxpayer earning £24,100 will have to pay £180 a year extra in tax, or £3.46 a week. A typical higher rate taxpayer earning £67,100 will have to pay £7.15 a week more in tax.
