Transferable marriage allowance
This is only for basic rate taxpayers and allows married couples and civil partners to transfer up to £1,000 of their personal allowance to their spouse or civil partner. It is worth up to £200 a year and is forecast to cost the treasury over £600m per year on average between 2015-16 and 2018-19.
The last election commitment to increase this to £10,000 will be fulfilled from April 2014, which is an increase of over 50% in four years. According to Government figures this will have lifted 2.7 million of low earners out of the tax net altogether over this period and 25.4 million individuals are said to have benefitted from these rises in the personal allowance.
The removal of part of the green levy on tax bills is said by the Government to deliver an average saving of £50 per year on household fuel bills.
Fuel Duty Freeze
The cancellation of the planned fuel duty increase in September 2014 is predicted to save the average motorist 20p per litre or £11 each time they fill up their tanks by 2015-16, when compared to the position we would have been in under the previous Government’s fuel duty escalator.
Free School Meals
These are to be introduced for all infant children in reception, year one and year two. The cost to the country is expected to be £620m in 2014-15 and £755m in 2015-16.