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What does the General Election mean for the pound in your pocket?

12/12/2019

As Britain goes to the polls today (December 12) in the most divisive General Elections in recent history the country waits with bated breath to find out who will take the keys to Number 10.

The public will cast their vote for the third time in four years following weeks of campaigning by politicians across the country.

And while the looming question of Brexit has been a major focus for all political parties, promises about personal finances have also hit the headlines.

It’s hardly surprising that elections can be won and lost on tax giveaways and personal income pledges dangled over the public.

But what exactly do politicians want from your money? And what can we expect the future Prime Minister to pick from our pockets?

Here we outline what the UK’s biggest political parties say about the financial decisions that could impact the pound in your pocket.

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Household bills

Brexit Party

  • Cut VAT on domestic fuel to reduce energy bills and save an average of £65 per household
  • Offer free basic broadband in deprived areas and free WiFi on transport in partnership with service providers
  • Phase-out TV licence fee
  • Reduce import tariffs on certain items, such as food, footwear and clothing

Conservatives

  • Invest £9.2bn in energy efficiency at home as well as schools and hospitals
  • End hospital car parking charges for those in need, including people with disabilities and staff who work nightshift
  • Continue Winter Fuel Payment

Democratic Unionist Party

  • Keep Winter Fuel Payments as a universal benefit
  • Support roll-out of 5G network and full-fibre networks
  • Continue freeze on fuel duty
  • Reduce insurance premium tax by 1% every annual parliamentary term
  • No VAT on domestic electricity and gas
  • No VAT on sanitary products

Green Party

  • Improve insulation in all homes that require it by 2030
  • Transform 8 million rented homes to ensure they are A-rated for energy efficiency by 2030
  • Upgrade heating in 1 million homes to reduce heating bills

Labour

  • Provide free hospital parking for patients, staff and visitors
  • Protect free TV licences for those over 75 and offer free fibre broadband by 2030
  • Continue Winter Fuel Payment

Liberal Democrats

  • Reform renewable heat incentive
  • Insulate all British homes by 2030 in a bid to slash bills and fuel poverty

Plaid Cymru

  • Create National Housing company to borrow against rents to build new public rental housing
  • Introduce £5bn Greener Homes programme in a bid to reduce fuel poverty

Scottish National Party

  • Establish free national energy switching service
  • Reform energy market and create Ofgem database of those who haven’t switched
  • Push for investment in super-fast broadband and 5G
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Tax

Brexit Party

  • Scrap Inheritance Tax
  • Scrap corporation tax on the first £10,000 of pre-tax profits
  • Introduce simple business rates system for small business outside London
  • Establish online sales tax to fund business rates change

Conservatives

  • Raise National Insurance threshold to £9,500 in 2020
  • Freeze income tax, National Insurance and VAT
  • First £12,500 of earnings to be tax free

Democratic Unionist Party

  • Annual personal tax allowance increase in-line with yearly inflation
  • Corporation tax to remain under review to ensure global competitiveness
  • NI allowances to match personal tax allowance

Green Party

  • Combine capital gains tax, inheritance, dividend, income tax and National Insurance into one single income tax

Labour

  • Reverse cuts to inheritance and corporation tax
  • Freeze income tax and NI for people earning less than £80,000
  • Increase income tax and NI contributions for those earning between £80-125,000

Liberal Democrats

  • Corporation tax increase to 20%
  • Income tax increase by 1p in the pound
  • Stop capital gains tax-free allowance

Plaid Cymru

  • Stop planned corporation tax cut
  • Devolution of financial powers – including corporation tax and Air Passenger Duty
  • Back new tax credit for those who pat more than 30% of their income on essential living costs by up to 25%
  • Cap pension income tax contributions at 20%
  • Up NI contributions for those who pay a higher / additional rate to 4%
  • Set up Employment Action Zones in rural industrial areas with high unemployment

Scottish National Party

  • Campaign for more devolved tax responsibilities
  • Oppose tax cuts for large businesses
  • Campaign against VAT increases
  • Support employer NI contributions cut
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Jobs and pay

Brexit Party

  • Increase lending to SMEs
  • Creation of ‘freeport’ zones exempt from typical tax and custom rules to encourage investment and create new jobs
  • £2.5bn investment in fishing and coastal communities
  • Introduce tax incentives for employers to take on apprentices and stop Apprenticeship Levy
  • Continue EU grants to key sectors such as farming and education

Conservatives

  • Teacher starting salaries to increase to £30,000
  • Establish £3bn National Skills Fund

Democratic Unionist Party

  • National Living Wage increase to £10.50 by end of Parliamentary term
  • Scrap Apprenticeship Levy
  • Employment Allowance for NI payments to £4,000
  • National Living Wage available to those aged 21
  • Public sector wage increase

Green Party

  • Gig economy workers to be paid current minimum wage and get access to job security, sick / holiday pay and pensions
  • Combat gender pay gap with regular company audits
  • Promote stay at home working with costs, such as electricity, reimbursed by employers for low earners
  • £2b investment in training and skills
  • Living Wage increase to £12 and extend to people aged between 16-21
  • Investment in millions of jobs for energy, transport, land and more

Labour

  • Establish £10 per hour minimum living wage
  • Working week reduced to 32 hours with no loss of pay

Liberal Democrats

  • Introduce £10,000 fund to support education and training
  • Consultation on minimum wage and 20% increase on minimum wage for zero-hour contacts

Plaid Cymru

  • Campaign for extension of paternity and maternity leave for families whose baby has been born prematurely
  • Devolution of public sector pay
  • Oppose zero-hours contacts
  • Welsh public sector staff and those in the public sector who work for business in receipt of public money to earn a real living wage
  • Ban employers making pregnant women redundant throughout pregnancy and up to six months after return to work
  • Green Jobs Revolution to create highly skilled jobs and make Wales self-sufficient in renewable energy by 2030

 Scottish National Party

  • Campaign for statutory living wage in line with Real Living Wage
  • Call for tougher fines and action against companies who don’t adhere to gender pay gap policies
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Benefits

Brexit Party

  • Year long review to assess benefits system with a view to reform in two years
  • Those who have already paid into the system for a maximum of five weeks to get accelerated pay

Conservatives

  • Continue Universal Credit
  • Create 250,000 affordable childcare places

Democratic Unionist Party

  • Increase Working Tax Credit in-line with inflation plus 0.5%
  • Universal Credit two child limit raised to three and then four in this Parliamentary term
  • End the benefits freeze and rise in-line with inflation

Green Party

  • Replace current welfare system with Universal Basic Income (with the exception of housing and carers benefit) which will pay £89 weekly

Labour

  • Stop benefit cap
  • End two child Universal Credit limit
  • Design new benefit to replace Universal Credit
  • Maternity leave increase to 12 months and paternity to four weeks

Liberal Democrats

  • Benefits wait to be reduced to five days
  • Universal Credit reform to ensure it’s supportive of self-employed Brits
  • Housing allowance increase in-line with average area rents

Plaid Cymru

  • Call for devolution of a range of benefits, including independence payments, carers allowance, winter fuel payments, attendance allowance and disability allowance

Scottish National Party

  • End Universal Credit
  • End two child cap
  • Maternity leave to be extended to 12 months and shared paternal leave to 64 weeks
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If you’re interested in discovering more about the financial pledges made by political parties, or for further information about the campaigns, you can view their manifestos in full using the links below:

Brexit Party

Conservatives

Democratic Union Party

Green Party

Labour

Liberal Democrats

Plaid Cymru

Scottish National Party

Alternatively, if you’re struggling with money worries, contact us today on 0808 2234 102. We can work through your debts from the moment you contact us and offer you advice and solutions tailored to your situation.

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