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UK's Osborne says to raise UK personal tax allowance
[LONDON] Britain will allow workers to keep more of their earnings before they start to pay income tax, finance minister George Osborne said on Wednesday in an annual budget statement delivered seven weeks before national elections.
Britain will raise the personal tax allowance to 10,800 pounds (S$22,196) in the 2015/2016 tax year, Mr Osborne told parliament, higher than 10,600 pounds as previously announced. It will then rise to 11,000 pounds in 2016/2017.
The government has raised the allowance steadily since it came to power in 2010.
The government will also raise the earnings threshold at which people pay the higher rate of income tax to 43,300 pounds by the 2017/18 tax year. Mr Osborne confirmed it will rise to 42,385 pounds this year.