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.
Kwarteng says a typical energy bill of 2,500 this year is a SAVING of £1,000.
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.
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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%.
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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.
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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.
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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.
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£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.
Travel warning issued as Manchester braces for busiest day of the year so far
Daisy Jackson
A ‘plan ahead’ travel warning has been issued for this weekend as the Manchester Marathon brings the busiest day of the year so far on the tram network.
Tens of thousands of people will hit the streets to take part in the race itself, with thousands more cheering them on from the sidelines.
This year’s Manchester Marathon route takes 36,000 runners through Sale, Stretford and Timperley before finishing up at a new finish line on Oxford Road – and there’ll be some big changes to your usual travel routes to accommodate this.
TfGM has said that Bee Network trams will be very busy before, during and after the 26.2 mile race, especially in Manchester and Trafford, with a number of road closures in place too.
Taking place on Sunday 27 April, the Manchester Marathon will coincide with Manchester’s popular St George’s Day parade which starts and ends across town around Oldham Road and Great Ancoats Street.
People are being encouraged to plan their journeys carefully this weekend, as it’s expected to be the busiest day of the year on the Bee Network trams.
The Manchester Marathon last year set a new personal best for the tram network, with 175,000 tram journeys racked up – the highest ever recorded on a single Sunday.
Trams will be the best choice to get around the Manchester Marathon course with key stops along the route including Sale, Timperley and Chorlton.
Many road closures will also be in place but at different times of day, so make sure you check HERE for the latest.
This will impact bus services, which will be on diversion from 8am until the end of service on Sunday, with traffic and congestion expected on surrounding roads.
Runners heading to the start line will only be able to access the athletes’ village from Old Trafford and Trafford Bar tram stops up until 9am. Participants arriving after 9am should get off at Wharfside or Exchange Quay instead.
Metrolink is promising to deploy as many double trams as possible across the network, with additional services between Piccadilly and Timperley.
As for other modes of transport, those who wish to drive should make us of Park and Ride facilities where possible; and those on the train should note that Salford Central remains closed with bus replacements in place.
Danny Vaughan, Chief Network Director at TfGM said: “The Manchester Marathon is a highlight of the Manchester city centre calendar and our job is to make sure everyone can get to and from the event as smoothly as possible.
“We want everyone to have a great day – whether they are taking on the run themselves or cheering on a friend or loved one – and would urge people to plan their journey in advance, leave plenty of time and check the Bee Network app or website for the most up-to-date information.
“The start and finish lines will be especially busy so if you are coming to watch you may be better off catching the tram to Sale, Timperley or Chorlton, grabbing a coffee and claiming afront row seat to cheer runners on.
“Using public transport is the best way to avoid congestion and delays – and with Tap and Go contactless payments it’s never been easier or more seamless to get around Greater Manchester by bus and tram.”
Passengers can now travel seamlessly between bus and tram and pay for their journey by tapping on when boarding a bus without the need for a ticket, making it the quickest and easiest way to pay for travel.
People travelling on Bee Network buses on Marathon Day can simply tap in and pay £5 for the day on as many buses as they need and just £4.90 on the tram. You can use all Bee Network buses as much as you want all day from just £5.40*.
Kirsty Wilde, Operations Director, from Manchester Marathon organisers A.S.O. UK, said: “The TfGM tram service is an invaluable part of our event, which allows thousands of participants and supporters to navigate around the city. With a record-breaking 36,000 participants set to take part on Sunday 27th April – and more exciting activities taking place over the weekend as a whole – we’re anticipating a rise in tram journeys, which will subsequently bring economic benefits to local vendors, the hospitality sector, and retail businesses.
“We’d like to thank Transport for Greater Manchester for its continued hard work helping to facilitate what will be the largest event yet, and would also like to say a big thank you to the residents and businesses across Greater Manchester for their understanding and support.”
The viral factory in Oldham that sells £2 Colin the Caterpillar cakes
Thomas Melia
A factory in Oldham has gone viral online after sweet fiends discover they sell ‘Colin the Caterpillar’ cakes for less than half price.
There are some things that just go hand in hand: a brew and a biscuit, peanut butter and jelly and Brits and their crazy obsession with a character chocolate cake from M&S called Colin the Caterpillar.
Since hitting the shelves in 1990, more than 15 million Colin the Caterpillars have made their way from supermarket shop floor to our sweet-treat-awaiting plates.
Who would’ve ever guessed that the home to this cheeky chappy, who M&S have made their unofficial mascot (after Percy Pig, of course), has been crafted and created right here in Oldham?
The utterly delicious Colin the Caterpillar cake which you can get for £2 at Park Cakes.The shelves at Park Cakes are stacked with Colins and Connies.Credit: The Manc Eats
Established in 1937, The Park Cake Bakeries – or just Park Cakes, colloquially – has been serving up this critter-inspired cake for over 30 years, and savvy shoppers have flocked to their factory shop to get their hands on some very sweet savings.
There’s a whole range of cakes on offer at this Oldham dessert factory shop, including slabs, sponges, loaves and even sweet pies too.
Whether you’re a firm believer that the birthday person deserves all of Colin’s white-choc face or you precisely cut it up so everyone gets some, Park Cakes has the solution, selling bags of the character’s chocolatey face so you can have one all to yourself.
The cake isn’t the only thing that leaves a sweet taste in your mouth, as the prices will too. Colin the Caterpillar, who normally retails for just under a tenner, is sold for around £2 at this Oldham factory shop.
It’s always the ones that look unassuming, isn’t it?
Alongside producing one of the most adored cakes in the UK, they’re also responsible for lots more of your favourite supermarket sweet treats, and we’re definitely not complaining.
You can let your sweet tooth go wild in this factory shop as they sell everything from rainbow birthday cakes to sticky toffee puddings.
There’s so much on offer too, how about a giant bag packed to the brim with misshapen golden flapjacks that’ll last you over a week and cost you less than a fiver? Sounds like a plan to me.
If you haven’t had enough of your Easter chocolate fix, why not trek over to Oldham and stock up on even more chocolate and sweet treats? Trust us, there’s plenty to choose from.
Park Cakes factory shop can be found on Ashton Road in Oldham and is open from 10am-4pm, so go and grab yourself a seriously sweet deal before everyone else beats you to it.
Mini Colins, small in size but still packed with all that chocolatey goodness.Flapjacks and cookie dough bites are just some of the wonderful treats you might be able to get hold of.Credit: The Manc
Danny Jones -
23rd September 2022 
