News about Paul Johnson

Experts warn a Budget rise in the employer national insurance rate could have a knock-on impact for employees. It would not directly be a tax rise on working people, meeting Labour's pledge at the election, but could reduce hiring, wages and pension contributions. We explain what it means.

The Chancellor is at the centre of a major row over employers' national insurance contributions (NICs) ands whether they will be hiked at the end of the month. She and Sir Keir Starmer have been warned that doing so would be a 'straight forward breach' of Labour 's manifesto pledge not to increase taxes on working people. The head of the IFS think-tank insisted the election document was 'clear' amid mounting alarm about the Chancellor's plans. In an interview with GB News this afternoon Ms Reeves would not confirm that the fiscal event would hike the NICS rate. But she told the broadcaster that keeping them frozen 'was not in the manifesto', which will fuel speculation that it is in her sights.

The Institute for Fiscal Studies said even changing the Tory debt rule the Chancellor inherited, which requires debt to be forecast to fall as a share of national income within five years, would do 'almost nothing' to ease pressure on public-service funding. Instead, the IFS warned that Ms Reeves could need significant tax rises to avoid spending cuts and to meet her pledge to borrow only to invest. In a report published today, the independent economics research institute concluded that the Chancellor would need a tax rise of £16billion to remain on course to balance the budget in 2028/29 if there are no cuts to spending outside of public services. This would be on top of the £9billion tax rise from measures set out in Labour's manifesto, adding up to almost £25billion in total - equivalent to around £900 per UK household.

University tuition is set to rise with inflation to £10,500 under the new Labour government, despite the party previously vowing to scrap them altogether.  Officials have put together plans that would see tuition fees, which have been frozen for the last seven years, increase by 13.5 per cent in the next five years, the Times reports.  The current talks regarding university finances comes as a Whitehall source branded the current tuition system as 'unsustainable'.

Sir Keir Starmer has been accused of plotting a tax raid on the middle classes after he admitted that the looming Budget will be 'painful'. During a doom-laden speech from the Downing Street rose garden yesterday, the Prime Minister warned that the country must accept 'short-term pain' for 'long-term good'. Paving the way for hikes to capital gains tax, inheritance tax and a possible raid on pensions, he said those with the 'broadest shoulders' should bear the brunt. Last night Sir Keir was accused of 'breaking his promise' after repeatedly vowing not to raise levies on working people during the General Election campaign.

Figures out yesterday showed unemployment falling and wage growth stabilising, raising hopes of another interest rate cut. Inflation remains under control and GDP numbers due tomorrow are expected to show a healthy surge in growth.

The Chancellor told MPs that the Government will axe several transport schemes, including the A303 tunnel at Stonehenge (pictured) as well as improvements to the A27 Arundel bypass in the south-east. Boris Johnson-era plans to reopen former railways lines were also in the firing line. 'If we cannot afford it, we cannot do it,' Reeves said.

The idea Labour have been blindsided by the scale of the debt they have inherited is silly. 'I don't think it's really very credible at all,' Institute for Fiscal Studies chief Paul Johnson charged. 'In terms of the scale of the problems facing public services, lots of individuals and organisations have pointed out that public services are performing considerably worse than they were pre-Covid.' The fact Reeves's faux pearl-clutching doesn't pass scrutiny isn't something that will unduly bother her, though. Because tomorrow's statement is primarily a piece of political theatre, rather than an economic one.

The new Labour chancellor warned there was 'a cost' to not giving public sector workers pay increases in terms of strikes and recruitment problems. It came after reports suggested independent pay review bodies have recommended a 5.5 per cent rise for teachers and around 1.3 million NHS staff. This pay rise is in line with that given to the private sector. Inflation currently sits at 2 per cent, although it was at a 40-year high of 11.1 per cent in October 2022. Speaking to the BBC Ms Reeves said the Government will 'make sure the sums add up'.  But a respected expert has warned she will have to either increase taxes or borrowing, or make major spending cuts to services, to find the extra money involved.

It is understood that the Labour had only budgeted for a 3 per cent pay rise which has led experts to claim the extra cash needed will have to come from taxes or borrowing. The independent pay review bodies which represent over 500,000 teachers and over a million nurses have both recommended pay rises of around 5.5 per cent. This pay rise is in line with that given to the private sector. If Labour do refuse to support the recommendation it could lead to the government being impacted by the same strike action which dogged the Conservative government for the better half of the last four years.

A town's society has refused to honour an infamous punk gig by The Clash with an iconic blue plaque because the music event caused too much trouble at the time. The Bury Society's 580 members say it will not support calls for the band's 1978 concert at the The Corn Exchange in Bury St Edmunds, Suffolk to be honoured. The infamous concert was part of the band's 'On Parole' tour and led to accusations of punks causing 'mayhem' with damage to property, spitting, and drunkenness. It also led to certain types of live music being banned in public buildings for two decades. Now there are calls for the gig to be commemorated as a part of the town's history with a blue plaque in the Corn Exchange which has been a Wetherspoons since 2012.

Brits have been warned they could be hammered with tax rises after 4 July whoever wins the general election. The Institute for Fiscal Studies hit out at a 'conspiracy of silence' among the UK's political parties over the need for tax hikes, spending cuts, or increased borrowing. The think tank said soaring debt interest payments, a growth in welfare spending, and sluggish economic growth were part of a 'toxic mix' for the public finances. IFS director Paul Johnson claimed the choice between tax rises, cuts or larger debt was a 'trilemma' facing whichever party wins power in 10 days' time. He said the Labour and Tory manifestos offered no clue as to the choice party leaders Rishi Sunak or Sir Keir Starmer might make. Mr Johnson also attacked Reform UK and the Green Party for helping to 'poison the political debate' with 'wholly unattainable' tax and spending plans.

The Tories, Labour, the Lib Dems and the Greens have all unveiled their pitches to Brits with under three weeks until July 4. But with only Reform's package due Monday, so far none of the proposals would see the tax burden decline. The Tories' pledged £17billion in cuts - including 2p off headline NICs and abolishing the levy altogether for the self-employed. However, according to calculations by the respected IFS think-tank that was not enough to stop the burden from increasing. It would reach just under 37 per cent of GDP by 2028-29. Labour's plan, including £8.5billion of tax hikes, would take the level to 37.4 per cent - above the previous record high set in 1948.

Sir Keir Starmer's blueprint was criticised as a 'plan for a plan' which promises a 'dizzying number of reviews and strategies'. The Tories said that despite Labour stating 'the time for reviews is over', it announced 16 new reviews in its manifesto, bringing the total number of audits the party has called for in recent years to a staggering 103. Paul Johnson of the Institute for Fiscal Studies (IFS) said: 'This is a manifesto that promises a dizzying number of reviews and strategies to tackle some of the challenges facing the country. 'That is better than a shopping list of half-baked policy announcements. But delivering genuine change will almost certainly also require putting actual resources on the table.' Meanwhile, charity Age UK said Labour's social care pledges amounted to 'a plan for a plan' as it called for care workers to be paid more fairly. And Kate Dove, chairman of Momentum which was set up to campaign for Jeremy Corbyn, said its vows 'fall short of what is needed to fix the Tories' broken Britain'.

The Liberal Democrats will not win the upcoming general election, but have many ideas on how to shake up personal finances. Here are all the main points you need to know about what Lib Dem policies would mean for your money.

The Wall Street bank said there was a 'meaningful chance' that bringing public finances into line could happen 'somewhat more gradually' than needed to meet the debt target. It comes as both Labour and the Tories say they will stick to current rules which commit to getting debt - as a percentage of GDP - falling within five years.

Sir Keir Starmer 's party is on 40 per cent while the Tories are at 28 per cent - up two points since the start of May. Labour's lead has slipped from 18 points in April and 15 points earlier this month, according to the polling by J.L. Partners carried out on Friday and Saturday.

The personal allowance, the amount you can earn without paying income tax, will be hiked at a special higher rate for pensioners, according to the Tories. That means it will never overtake the full state pension, the party has pledged. The £12,570 personal allowance has been frozen since 2021, which means many more pensioners are now forking out income tax if they receive the £11,500 a year full state pension plus some private pension income.

Police and social services missed three critical chances to save the life of six-year-old Arthur Labinjo-Hughes, who died after being tortured by his father Thomas Hughes and stepmother Emma Tustin, a review has found. Little Arthur was murdered by his stepmother at their home in Solihull in June 2020 after being poisoned, starved and beaten in a sickening campaign of abuse.Twisted Tustin was handed a life sentence with a minimum of 29 years for his murder; while Hughes is serving a 24-year prison term after being convicted of manslaughter for encouraging the killing. An independent review for Solihull council into how Arthur's case was handled identified three opportunities within nine days which were missed by police and social services and could have ultimately prevented Arthur's murder.

The local practice report found that pictures of the boy's injuries sent to the authorities 'could and should have changed the course of this case'. Tustin was given a life sentence with a minimum of 29 years after she killed Arthur by repeatedly slamming his head on a hard surface. His father Thomas Hughes was jailed for life with a minimum of 24 years after being found guilty of manslaughter - but cleared of murder - for encouraging the killing. The report, published on the Solihull Safeguarding Children Partnership's website, examined events from April 15 until April 27 2020, when Arthur's case was closed by children's social care nearly two months before his murder.

MATT BARLOW: It was likely mid-October when a friend with a keen understanding of non-league football first mentioned Farnham Town. They had banged out ten wins in a row at the start of the Combined Counties South season, sparking a few murmurs of interest and concerns about their budget, so I followed them closely. They had won 16 out of 16, a record set by PSV Eindhoven at the time, but Ruud van Nistelrooy's crew soon lost two points and Paul Johnson's team kept winning.

When a group of teenagers allegedly assaulted an ex-cop with an axe and hammers, an ex-cop feared he was going to die. During the suspected murder in Wandina, Western Australia, Adrian Barker, 54, suffered internal bleeding, serious head wounds, and a broken hand. 7 Regional News reports that a neighbor reported an attempted break-in police who arrived on the scene.

It's a matter of Four Weddings And A Funeral. There is a huge problem that needs to be addressed. So let's get the funeral out of the way. It's high-quality. Now for the weddings. Inward investment has boomed. If the economy is to grow faster, we need more investment of all sorts, and pension fund transparency laws are one way to ensure that UK savings remain here. This is what we've been waiting for, and it's a relief to see movement. Our next wedding is our top priority in the service industry. Artificial intelligence is also present at the final wedding. This is the start of something big, and it will certainly increase productivity in service industries.

The Spring Budget failed to fix a tumultuous mix of economic woes and politicians of all stripes are refusing to acknowledge the fiscal truth, according to the head of a major think tank. After the next election, when so-far ignored tough spending and tax choices, Britain could face a "rude awakening," according to Institute of Fiscal Studies director Paul Johnson, who said on Thursday that it would be 'unavoidable."