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Chancellor's Budget Freezes Tax Threshold, Costs Workers £1,900

11/26/2025

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Summary

Story summary

The Chancellor's Budget extends the income tax threshold freeze from 2028 to 2031, affecting middle-income workers.
Analysts say it could cost middle-income workers up to £1,900 over six years.
The freeze, set by the Conservative government, is expected to raise £23.8 billion.
Critics, including Labour's shadow Chancellor and the Liberal Democrats, call it a stealth tax that will push nearly one million more people into the basic rate.

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Story summary

The Chancellor's Budget extends the income tax threshold freeze from 2028 to 2031, affecting middle-income workers.
Analysts say it could cost middle-income workers up to £1,900 over six years.
The freeze, set by the Conservative government, is expected to raise £23.8 billion.
Critics, including Labour's shadow Chancellor and the Liberal Democrats, call it a stealth tax that will push nearly one million more people into the basic rate.