Working people are the lifeblood of our economy. The government
is not increasing the basic, higher or additional rates of Income
Tax, National Insurance, or VAT.
Here are just some of the measures announced at the Autumn Budget
2024 that will help put more money into your pocket.
1. Savings boost from the government for low
earners
The Help to Save scheme has been extended and widened. The scheme
offers lower earners a savings account where they can save a
maximum of £50 a month for 4 years and receive a 50% government
boost at the end of year 2 and year 4. This helps workers
kickstart a lifelong savings habit and offers up to £1,200 over
the 4 years.
The scheme was due to end in April 2025 but has been extended by
2 years until April 2027. Eligibility for the scheme will widen
from April 2025. It will be open to all working Universal Credit
claimants earning at least £1 a month.
2. Increased National Living Wage
In her statement, the Chancellor announced that from 1 April
2025, the National Living Wage will increase from £11.44 to
£12.21 an hour for employees aged 21 and over. That's an increase
of 6.7% from 2024.
For 18 to 20 year olds, it will increase by £1.40 an hour, to
£10.00 an hour. This is the first step towards the government's
plan to remove discriminatory age bands and deliver a genuine
living wage that all adults can benefit from.
3. Capping how much Universal Credit can be taken for
debt repayment
The government is creating a new Fair Repayment Rate which caps
deductions made through Universal Credit at 15% of the standard
allowance. Before this Budget, it was 25%.
This means approximately 1.2 million households will keep more of
their Universal Credit payment each month, with households
expected to be better off by an average of over £420 a
year.
Other financial support available
These are just some of the ways the government is protecting
working people. The Autumn Budget 2024 also includes further
support for pensioners, those in crisis and those struggling most
with the cost of essentials. Read the Budget in full to
find out more.
