The Sky News interviewer told Kwarteng that only those who earn over £155,000 will be net beneficiaries of his reforms. Kwarteng categorically denied this “That’s not true, that’s not true… we’ve actually put more money into peoples’ pockets, that’s why we’ve reversed the National Insurance increase… we’re bringing forward the cut in the basic rate… I want to see, over the next year, people retaining more of their income.”
The Institute for Fiscal Studies (IFS) says that taking into account the tax changes those with an income above £155,000 will gain while those with an income below £155,000 will lose out. This means that most people stand to lose, not retain, “more of their income” over the next year.
Not only was Kwarteng was talking nonsense, he was denying the facts that he was presented with.
We emailed Kwasi Kwarteng’s office offering him the chance to respond. The email was received, but no reply.