The Chancellor of the Exchequer, Kwasi Kwarteng, has delivered his 2022 mini-budget in an attempt to address concerns surrounding the ongoing cost of living crisis.
While significant tax cuts were already predicted ahead of the crucial economic update, many people across the country may have been surprised by the sheer extent of measures announced by the chancellor across the board.
Energy
Addressing the subjects on everyone’s mind early on, Kwarteng stated that the annual price of energy for UK households will now be limited to £2,500, resulting in savings of around £1,000 against the projected figures following the most recent energy cap.
He also confirmed that the £400 energy discount is still in place, with the most vulnerable homes receiving even more in government support. Some are less than convinced that any real ‘savings’ will be made.
Earlier this week, the government announced that they would be halving energy bills for businesses over the next six months. Today he confirmed that a relief scheme will be put in place, as well as an “energy market finance scheme” which will offer liquidity to traders.
ADVERTISEMENT
Similar relief will be afforded to schools and charities.
Lending and inflation
The hope is that this overall energy plan will reduce inflation, which currently sits at 9.9% based on August’s figures, to 5% and see the trending rate of annual financial growth to 2.5%.
ADVERTISEMENT
Not only does the government believes this will lower the wider cost of living pressures but also free up finances to help better fund public services.
The overall energy relief package is said to be costing approximately £60 billion, meaning a significant amount will have to be borrowed from the Bank of England.
Bankers’ bonuses cap and corporation tax hike scrapped
On the subject of banks, one of the most controversial parts of the Kwasi Kwarteng’s update was the announcement that the cap on bankers’ bonuses will be scrapped entirely, arguing that previous measures only led to higher wages and people paying tax in other countries outside of the UK.
ADVERTISEMENT
Next year’s scheduled corporation tax increase from 19% to 25% is also going to be scrapped, the rationale being that “low tax encourages investment” both domestically and from overseas.
Once again, people are less than impressed that the nation’s highest-earners appear to be the ones benefiting the most from government policy.
This is a Bankers’ Budget:
– Scrapping the cap on bonuses – Slashing tax for the top 1% of earners – Cutting tax on big businesses' profits
When millions urgently need help with the cost-of-living crisis, the Tories are helping out their super-rich mates.#EnoughIsEnough
The chancellor also said that the government are committed to removing further enterprise barriers caused by EU regulation, hoping to streamline “planning restrictions” across childcare, immigration, agricultural productivity, and digital infrastructure.
He sighted energy, telecoms and travel as key problem areas hamstrung by red tape.
However, he conversely criticised the ongoing strike action across the country and said that they plan to imitate other countries by introducing legislation to ensure minimum level service resumes.
ADVERTISEMENT
Tax cuts
Elsewhere, businesses in nearly 40 different ‘designated zones’ have been promised tax cuts for the next 10 years and no stamp duty on new premises. Speaking of which, as of today, no payment will be required on the first £250,000 of a property’s value, with first-time buyers paying zero on the first £425,000.
In fact, it looks as though the overall tax system is set to be reviewed once again. Not only are previous corporation tax and stamp duty plans being scrapped but income tax, alcohol duty and more are all being reexamined as part of the not-so mini-budget.
Alcohol duty is set to be frozen in February, meaning that Brits can expect to save around 7p per pint, 38p per bottle of wine and £1.35 on spirits. VAT-free shopping is also due to be introduced for overseas visitors, with aim of increasing revenue from tourism.
Kwarteng also confirmed that the basic rate of income tax will be cut by 1p to 19p from April 2023, with the 45p tax rate for those earning over £150,000 will be abolished from the same time next year.
This is said to be the biggest series of tax cuts in 50 years.
ADVERTISEMENT
£45 billion of tax cuts. This is biggest tax cutting event since 1972. Barber's "dash for growth" then ended in disaster. That Budget is now known as the worst of modern times. Genuinely, I hope this one works very much better.
Despite the ‘real’ living wage being increased by 10% in an attempt to try and curb rising costs in almost every other walk of life, it goes without saying that the UK faces an extremely difficult period ahead as energy costs continue to rise, post-Brexit prices keep rising and we approach the ever expensive winter months.
The shadow chancellor Rachel Reeves told the Financial Times that regardless of the measures announced today, both the mini-budget and Liz Truss’ appointment as Prime Minister represents “another zigzag on a path of policy failure” rather than any real sign of change.
Dispute over Manichester now ‘resolved’, say Mounfield family
Danny Jones
The family of the late, great Manchester musician, Gary ‘Mani’ Mounfield, have said that the drama surrounding the highly-anticipated tribute festival in his name, Manichester, has now thankfully been settled.
Now the focus can once again return to remembering him as best as possible.
Following plenty of talk about the project following his passing late last year, a live music festival honouring Mani was finally confirmed in March, and the reaction following the event’s announcement has been unsurprisingly phenomenal.
Well, at least for the most part, as there was also some confusion over whether or not Manichester was still a charitable effort as advertised, with son Gene Mounfield disputing claims online. Fortunately, it all seems to have been put to bed now.
On behalf of the boys, and as their legal guardian, I want to thank everyone for the kind messages and concern for their wellbeing. There was a misunderstanding regarding the upcoming Manichester tribute concert, but we’re pleased to share that everything has now been resolved. pic.twitter.com/j8jEMrFzsD
Being organised by Madchester.com and locally-founded fashion label, GIOGOI, the debut edition was said to have the total blessing of Mani’s family, including his brother, Greg Mounfield.
It was also said that the funds raised by the show would be going to the legendary Stone Roses and Primal Scream bassists’ twins, George and Gene, but the latter recently argued that “nothing” was going to either him or his brother and that the news was “dropped” the plans just a fortnight prior.
Gene also said that “if it was a charity gig it would be at Co-op [Live] or Heaton Park, and it would be done by SJM [Concerts]”: a Manchester-based promoters and events company.
All of this was also wrapped up in ever more paper talk and sensationalism, as some were reporting that Noel and Liam Gallagher, as well as other members of Oasis, would be surprising fans as the still yet to be revealed ‘major headliner’.
These rumours have since been quashed, as has whatever miscommunication caused the misunderstanding between the parties concerned, and we are now back to simply looking forward to seeing an already stacked lineup here in the city centre this May.
Damon Minchella of Ocean Colour Scene (a fellow bassist who also tours with Richard Ashcroft) is helping organise and will also be performing on the night itself. As for the surviving Mounfields, they went on to add in an accompanying Instagram post: “We would also like to express our gratitude to PH.
“It means a great deal to all of us that so many people loved Mani enough to give their time and energy to honour his memory in this way. We are genuinely touched by the support.
“It has been an incredibly difficult few years for the boys and for our whole family. We hope this event will bring some much‑needed joy and create new, positive memories for everyone who cared about him.
“With love and thanks – The Family”
It goes without saying that we can’t wait for this city and Greater Manchester as a whole to honour a Manc icon and are looking forward to another year celebrating the thing that never fails to bring us all together: music.
Featured Images — livepict.com (via Wikimedia Commons)/Publicity pictures (supplied)
News
Rochdale is bidding to become the UK’s first-ever Town of Culture in 2028
Emily Sergeant
Rochdale has announced its intention to bid to become UK Town of Culture 2028.
Entering into the national competition launched by the Department for Culture, Media and Sport (DCMS), following on from the success of the already-existing City of Culture award, the Greater Manchester town is hoping to be the first-ever town to claim the title.
The Town of Culture competition invites towns across the UK to showcase their cultural story and develop ambitious programmes that celebrate local heritage, creativity, and communities.
The winning town receives a £3 million grant from the Government to deliver a major year-long cultural programme in 2028 designed to boost civic pride, attract visitors, and provide everyone with the opportunity to participate in cultural activities.
Rochdale’s bid is being led by Rochdale Borough Council and Rochdale Development Agency, alongside cultural groups, education providers, and community organisations.
The bid will build on the town’s history as the birthplace of the Co-operative movement, and a centre of political reform, collective action and working-class cultural innovation.
A town of national and international significance, whose people and ideas have shaped the social, democratic and cultural life of the UK and beyond, Rochdale Council says the town’s story is ‘distinctive’ and as highly relevant today as it ever has been, and this is a driving force behind its Town of Culture 2028 bid.
Not just historically, but over recent years too, the town has made a significant contribution to the UK’s popular culture, producing internationally recognised musicians, artists, writers, and performers.
Local leaders say the bid to become the UK’s first ever Town of Culture underlines Rochdale’s ambition after just completing a ‘hugely successful’ year as Greater Manchester Town of Culture for 2025.
Rochdale is bidding to become the UK’s first-ever Town of Culture / Credit: The Manc Group | Rochdale Council
“We have a strong foundation for a bold and future focused UK Town of Culture programme and an incredible story to tell,” commented Cllr Neil Emmott, who is the Leader of Rochdale Borough Council.
“We’ll be developing a fabulous programme of new events and activities as well as amplifying our existing offer and recently transformed town hall square and centre.
“As we have already seen during our year as Greater Manchester Town of Culture, we have an established infrastructure of creative partners ready to go, who have already expressed their support for our bid, providing significant capacity and scale to deliver a UK town of culture programme in 2028 that would leave a permanent cultural legacy.
“We have exciting and varied attractions and iconic venues that have seen significant investment, an array of creative talent and we’re very well connected.
“This bid will allow us to share this in new ways and invite others to experience it.”
Danny Jones -
23rd September 2022 
