VALE of Clwyd MP Dr James Davies has welcomed the Government’s new mini-budget, which set out new tax cuts and investment incentives.

Chancellor of the Exchequer Kwasi Kwarteng announced the country’s biggest tax-cutting event for 50 years, with a cut on stamp duty tax, basic rate of income tax cut to 19p and removal of the 45 per cent top rate of tax for higher earners.

Many have criticised the budget for enabling the wealthiest in society, with bankers’ bonuses no longer capped.

Dr Davies has welcomed the Chancellor’s measures, praising the Energy Price Guarantee, targeted help for pensioners, the disabled, those on means-tested benefits and all in Council Tax bands A to D.

Alongside these measures the Government announced further changes – including cutting stamp duty permanently in England by doubling the nil-rate band to £250,000 (from £125,000), increasing the nil-rate band for first time buyers to £425,000 (from £300,000) and increasing the value of the property which first-time buyers can claim relief to £625,000 from (£500,000). It remains to be seen whether the Welsh Government will replicate this move through its Land Transaction Tax.

The Government’s Growth Plan also introduced 38 Investment Zones, unlocking housing and driving growth through tax incentives.

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Under this brand-new initiative, each Investment Zone will offer targeted and time-limited tax cuts for businesses, backing them to increase productivity and create new jobs and opportunities. This could encourage investment in new shopping centres, restaurants, apartments and offices.

The Government further announced that legislation would be brought forward to introduce Minimum Service Levels for transport services in Great Britain, in an effort to curtail the impact of strike action.

Dr James Davies MP said: “In the face of rising energy prices and cost of living pressures it is right that this Government has come forward with a serious support package, which will help reduce peak inflation, alongside a plan for growth.

“I welcome the support set out for people across North Wales today, including cuts to National Insurance contributions and Income Tax – helping families to keep more of their hard-earned money.

“It is vital that Cardiff Bay engages with HM Government to ensure Investment Zones can be rolled out across North Wales as soon as possible, and I am calling on the Devolved Administration to match the Stamp Duty threshold rises.

"I also continue to work to ensure we see the transport infrastructure investment we desperately need for North Wales."

The Chancellor of the Exchequer said: “Growth is not as high as it should be. This has made it harder to pay for public services, requiring taxes to rise and cost of living pressures to increase.

“We need to change this and be unashamed in our Growth Plan – expanding the supply side of the economy, through tax incentives and reform, whilst we help families now by cutting their energy bills by £1,400 a year and slashing personal taxes.

“That is how we will deliver higher wages, greater opportunities, and crucially, fund public services, now and into the future.”