Weekly News (8th-15th Nov)
- Millions of families will gradually receive a £900 living allowance.
- Wage growth surpasses inflation, but the job market may weaken.
- Welsh council tax undergoes its first reassessment in 20 years.
- UK banks implicated in Europe’s largest tax fraud, reaching up to £10 billion.
Millions of low-income families will receive a living allowance
Starting next week, millions will receive the first instalment of £300 following an economic survey.
This policy requires no application and will be distributed in three payments to eligible households.
Payments will continue until spring 2024, though it may not completely resolve financial issues.
Wage growth outpaces inflation
Official data reveals a 7.7% year-on-year wage growth rate in the last quarter, surpassing inflation.
As wage growth rises, job vacancies decrease, albeit higher than pre-pandemic levels.
With slowing inflation, wage growth is also showing signs of deceleration.
If your company participates in real wage schemes, you may receive higher compensation than statutory wages.
Welsh council tax
In a new proposal announced this Tuesday, municipal taxes for some households might be changed.
This reassessment broadens the brackets, creating a fairer system for families.
Despite this, certain homes in Wales may experience an increase in council tax under the new system.
The proposal is expected to slowly implement by April 2025, with possible adjustments before then.
UK banks involved in Europe’s largest tax fraud
Recently, several London-based banks became entangled in the largest fraud case in European history, amounting to billions of pounds.
Subsequently, thousands of bankers from banks like Barclays and BNP Paribas are implicated.
As UK dividends are not subject to withholding tax, British taxpayers are temporarily unaffected.