Kirsty Williams, Leader of the Welsh Liberal Democrats, is today calling on the Coalition Government to increase the personal tax allowance to £10,000 ahead of the Chancellor's spring budget on Wednesday.
Increasing the personal income tax allowance to £10,000 was a key manifesto commitment in the 2010 general elections for the Welsh Liberal Democrats. The Coalition Government programme for government has promised to increase the income tax threshold to £10,000 by the end of the parliamentary term. The Welsh Liberal Democrats are calling for this policy to be implemented a year in advance.
From April, over 100,000 workers in Wales will pay no income tax and 1.1 million workers in low and middle incomes in Wales will receive a £600 income tax cut. If the personal tax threshold were to go up to £10,000, ordinary workers would see £700 back in their pockets.
Kirsty Williams, Leader of the Welsh Liberal Democrats said:
"During the 2010 general election, the Welsh Liberal Democrats had this policy of increasing the personal tax threshold up to £10,000 on the front cover of our manifesto. It has been a gradual increase and I think now is the time to take the threshold up to £10,000 and I want the Chancellor to announce this in his budget speech.
"In difficult times, we believe that people on low and middle incomes should get the help they need and that is why I am pleased that the Welsh Liberal Democrats have been able to persuade the Chancellor to increase the personal income tax threshold this far. Pushing the threshold to £10,000 will have a huge impact on many people on low and middle incomes. Currently, if you are on the minimum wage, the Welsh Liberal Democrat income tax policy means that you will have had your income tax bill halved.
"Across Wales, from April, over 100,000 thousand low paid workers will pay no income tax at all and over 1 million ordinary workers will see £600 back in their pockets.
"The Welsh Liberal Democrats are building a stronger economy in a fairer society, enabling every person to get on in life and pushing the tax threshold up to £10,000 is just one of the many ways we are helping people across Wales."