Promised tax cuts in next month’s budget scrapped

Chancellor Sajid Javid is planning to scrap promised tax cuts in next month’s budget, according to a report in the Financial Times.

This Tuesday’s U.K. public-sector borrowing figures showed the budget deficit between April and September totalled £40.3b, 22% higher than the same period last year.

The FT says that as a result of the tightening economic realities, Boris Johnson’s promise to cut tax for those earning over £50,000 is expected to be scrapped (his plan was to move the higher rate tax band from £50,000 to £80,000) as it is now thought to cost the Treasury £8b.

Other tax breaks in areas such as Inheritance Tax and Death Duties are also expected to be jettisoned.