Cutting tax on hardworking families

Today, campaigning around the country, Prime Minister Rishi Sunak will announce a £1,500 tax cut for 700,000 hardworking families. 

• Building on the bold action we have taken to reform the childcare system, we are announcing a clear plan to increase the threshold for families that pay the Child Benefit Tax Charge from £60,000 to £120,000.

• We will also make the system fairer by moving to a household system, rather than means testing individuals – a move that will directly support single parent households and close the unfair Child Benefit loophole that punishes middle income parents.

• Our clear plan will cut taxes for 700,000 families by an average of £1,500.