Markus Andrews

Sign up for the View from Westminster email for expert analysis straight to your inboxGet our free View from Westminster emailSpeculation is rife about what chancellor Jeremy Hunt might announce when he sets out the government’s spending plans in the spring Budget.In the run-up, most reporting had focused on whether taxes would be slashed.However, reports revealed on Tuesday the chancellor is expected to slice 2p from the rate of National Insurance instead, after concluding income tax cuts would be too expensive and risk stoking inflation, which remained frozen at 4 per cent in January.We want to know what you’d like to see announced in Jeremy Hunt’s budget.If you were given the reigns to Number 11, what policies would you implement? Would you be keen to see more help introduced for first-time buyers? Or would you rather see enhanced VAT relief on electric vehicle charging brought in?Share your opinion by adding it in the comments and we’ll highlight the most insightful ones as they come in.All you have to do is sign up and register your details – then you can then take part in the discussion. You can also sign up by clicking ‘log in’ on the top right-hand corner of the screen.Make sure you adhere to our community guidelines, which can be found here. For a full guide on how to comment click here.Join the conversation with other Independent readers below or by clicking here. More

Sign up for the View from Westminster email for expert analysis straight to your inboxGet our free View from Westminster emailJeremy Hunt is reportedly considering axing the controversial “non-domiciled” tax status in his spring Budget this week to help fund pre-election tax cuts.The non-dom tax status is for wealthy overseas individuals and scrapping the loophole has been one of Labour’s flagship policies.If scrapped by the chancellor to raise emergency funds for the Budget, it would leave the opposition scrambling for new sources of cash to fund other key pledges. Mr Hunt has not always been in favour of axing the status, however, saying back in 2022: “I would rather wealthy foreigners spent their money in Britain.”The issues around people with non-dom tax status came under the spotlight again last year when The Independent revealed that Rishi Sunak’s wife Akshata Murty dodged millions in UK tax by taking advantage of the loophole.Research from the London School of Economics found that scrapping the special exception would raise the government over £3.2bn a year, something that could help fund other tax cuts. Their forecast predicts that just 0.3 per cent of people with non-dom status would leave the country in this scenario.However, the Institute for Fiscal Studies this week warned the chancellor to “tread carefully” on removing it. The research group pointed out that there are around 37,000 people claiming the non-dom tax exception in the UK, still paying a collective £6bn in UK taxes. Any major change, they argue, could see many of them leave the country – taking this revenue with them.Here, we take a look at everything you need to know about the non-dom status: What is ‘non-dom’ tax status?First introduced in 1799, and refined over the years, the UK’s “non-domiciled” tax regime has come under scrutiny in recent years.A “non-domiciled individual” is a person who lives in the UK but is not settled here permanently. They will only pay UK tax on money made in the country, and can avoid paying it on their foreign income if they opt to claim the “remittance basis”.This allows wealthy individuals living in the UK to elect the lower-tax country as their domicile, making for major savings.There are two ways you can claim this status. Firstly, if you weren’t born in the UK, or your father came from a different country. The only other way is if you are over 16 and choose to leave the UK to live elsewhere permanently.Jeremy Hunt ahead of the 2023 spring Budget If you are a non-dom and choose not to pay UK tax on your overseas earnings, you must pay:£30,000, if you’ve been in the UK for at least seven of the past nine tax years£60,000 if you’ve been here for at least 12 of the past 14 tax yearsYou can no longer claim non-dom status after you have lived in the UK for 15 of the previous 20 years. Non-doms that don’t claim the remittance basis will simply pay UK tax on their foreign income (over £2,000).Several other countries similarly operate a tax system with special rights for non-dom individuals.Other countries with a special “non-dom” tax systemIt’s not just the UKBelgiumCyprusPortugalIrelandItalyMaltaThe NetherlandsSwitzerland How many people with non-dom status live in the UK?In April 2023, there were 68,800 non-doms living in the UK, with an estimated 37,000 claiming the special ‘remittance basis’ tax status.Ms Murty remains a non-domicilied individual as a citizen of India. However, following the revelations of her tax arrangements, Ms Murty opted to begin paying UK tax on all her worldwide income in future and for the 2021/22 financial year.The prime minister’s wife issued a statement at the time, accepting that her tax status was not “compatible” with Mr Sunak’s political role, and that she appreciates the “British sense of fairness”.It was estimated she dodged up to £20m in UK tax over several years on her dividends from Indian IT firm Infosys, founded by her father. Conservative peer Zac Goldsmith Conservative peer Zac Goldsmith held non-dom tax status until becoming an MP in 2009, when he relinquished it under media and political pressure. He inherited the status from his father.Other famous non-doms have included: oligarch and former owner of Chelsea football club Roman Abramovich, media mogul Viscount Rothermere, and AstraZeneca CEO Pascal Soriot. More

A Conservative MP has suggested Joe Biden “needs to read the room” and retire.Speaking on Super Tuesday (5 March), Tim Loughton said the US needs to “be led by a strong, credible, moderate president” and that neither Biden nor Donald Trump “fit that bill”.A re-match between the pair in the US presidential election this November is looking increasingly likely.“Joe Biden, who I’m sure is a decent chap, frankly he needs to read the room,” Mr Loughton told BBC Politics Live.“It’s time to go home to the cocoa and slippers.” More

Sign up for the View from Westminster email for expert analysis straight to your inboxGet our free View from Westminster emailA Tory minister has appeared to rule out a May general election, suggesting voters will go to the polls this autumn.With Rishi Sunak’s party lagging Labour in the polls by 20 points, Greg Hands said the contest will be “later this year”.The trade minister was asked about mounting speculation the PM could call a snap election in May, to coincide with local elections around the country, but ruled the prospect out.Tory trade minister Greg Hands said the general election will not be in May Asked on Times Radio whether there is “a sniff” of a chance of a May general election, Mr Hands said: “No.”At the same time, Labour’s shadow paymaster general was making a bet with Sky News presenter Kay Burley that the contest would be in May.Jonathan Ashworth said: “After 14 years of the Tories… I think the British people will say it’s time for a change and will want to get rid of the Tories.“And by the way, this election is coming in May. I think it is definitely coming in May… the Conservatives are planning for that.”Mr Ashworth accepted a £10 bet for a children of alcoholics charity and called on Mr Sunak to “name that date”.Mr Sunak has previously said his “working assumption” is that he will call the election in the second half of this year, but has refused to set out a date.But expectations have been raised of a May election ahead of mooted tax cuts in Wednesday’s budget and the potential deportation flights to Rwanda could take off within weeks.Rishi Sunak has refused to say when the general election will be, suggesting it will be at some point in the second half of 2024 No10 has insisted it is committed to getting flights off the ground by the spring, which could combine with a tax giveaway and give the Tories a campaign boost.There are also growing fears Mr Sunak faces a tough set of results at the May local elections, which could destabilise his leadership.And some suggest the government could opt for a May election to limit the damage to the Conservatives, with no evidence the party can expect a turnaround in the polls.Former Tory leader Lord Hague urged the PM to “keep his options open” on the timing of the election, but added that it is “much more likely” to come late this year. Mr Sunak’s deadline to dissolve parliament in time for a 7 May election is 26 March.It comes after a shock survey on Monday revealed the party is on course for one of its worst election defeats in history.It showed for the Conservative Party has plunged to the lowest level since 1978 with just a fifth of British voters now backing Mr Sunak’s party.The Tories were 27 points behind Sir Keir Starmer’s Labour Party, which would spell electoral oblivion for Mr Sunak’s party if replicated at a general election.The Ipsos poll, published on Monday, shows Mr Sunak could hold on to as few as 25 seats – 351 fewer than Boris Johnson won in 2019 – in what would be a historic defeat.It also predicts Sir Keir could secure as many as 537 seats – 340 more than Jeremy Corbyn managed at the last election and equating to a landslide which would eclipse Sir Tony Blair’s 1997 win.The survey showed support for the Tories at just 20 per cent, the lowest since 1978 when Ipsos started tracking the poll. Ipsos is a multinational market research firm and the poll is the latest in its monthly independent Political Monitor.In the latest survey, Labour’s support has dropped to 47 per cent from the 49 per cent it had in January.Meanwhile, the Liberal Democrats were backed by 9 per cent of the electorate, while support for both the Green Party and Reform UK was at 8 per cent – double what it was in January.Ipsos’s previous lowest score for the Conservatives was 22 per cent, recorded by John Major in December 1994 and May 1995, only a few years before Sir Tony’s election win. More

A top Tory minister has suggested George Galloway’s Rochdale by-election win is “not a good thing for the country”.Greg Hands also described the Workers Party leader as an “opportunist who sows the seeds of division”.“He doesn’t stay popular, he lost his seat in Bethnal Green and Bow, and he lost his seat in Bradford in the following election. He’s somebody who never delivers for his constituents,” Mr Hands told Good Morning Britain on Tuesday 5 March.Mr Galloway was sworn in as the new Rochdale MP in the House of Commons on Monday, following his by-election win. More

Get the free Morning Headlines email for news from our reporters across the worldSign up to our free Morning Headlines emailParents have been warned of new rules for taking their children out of school, with higher fines set to be introduced for those who don’t seek permission.The controversial move follows a drop in attendance after the pandemic and a rise in homeschooling.School absence fines currently start at £60, rising to £120 if they are not paid within 21 days. But the DfE has said fines will now start at £80, rising to £160.Data reveals that nearly 90% of fines were for unauthorised holidays, often booked outside school terms for financial reasons.While Education Secretary Gillian Keegan has emphasised the importance of attendance, critics argue that fines may not be the most effective tool. They call for targeted resources to address the root causes of poor attendance, including support for vulnerable families and children’s mental health.We want to know if you think these steeper penalties will fix widespread truancy issues, or will they simply punish parents who are already trying their best to get their children to school?And even if you don’t struggle the peel your child from their bed in the morning, with the cost of going away rocketing during school holidays, many parents are understandably tempted to take their children abroad in term time to save pennies and allow their family to experience the wonders of travel.If you want to share your opinion then add it in the comments and we’ll highlight the most insightful ones as they come in.All you have to do is sign up and register your details – then you can then take part in the discussion. You can also sign up by clicking ‘log in’ on the top right-hand corner of the screen.Make sure you adhere to our community guidelines, which can be found here. For a full guide on how to comment click here.Join the conversation with other Independent readers below or by clicking here. More

Speculation continues to mount as the chancellor prepares to deliver what is likely to be the last Budget before the general election on Wednesday 6 March.Most of that speculation has so far focused on tax cuts, although both Jeremy Hunt and Rishi Sunak have been less keen to talk up the prospect of further tax reductions after official forecasts were reported to have reduced the amount of “headroom” available to meet their fiscal rules.The main question has been whether Mr Hunt will cut income tax or repeat the national insurance cut he introduced in last year’s autumn statement, with either offering a pre-election giveaway to voters. More

Sign up for the View from Westminster email for expert analysis straight to your inboxGet our free View from Westminster emailJeremy Hunt could raise revenue on air passenger duty in order to fund tax cuts in this week’s Budget.The chancellor is considering a number of options that would allow him to commit to billions of pounds of personal tax cuts after recent forecasts from the Office for Budget Responsibility (OBR) gave the chancellor less fiscal headroom than previously thought.On the list of options is an increase in air passenger duty of business travel, which would amount to a rise in business class air fares.He is also said to be considering a tax on vapes, an extension of the windfall levy on oil and gas producers, abolishing the non-dom tax loophole and abandoning perks for second homeowners who make money from holiday lets.Follow our live Budget coverage here Mr Hunt is paving the way for a mass tax giveaway in Wednesday’s pre-election Budget, with speculation around cuts to income tax or national insurance. The chancellor will unveil his spring budget on Wednesday The Treasury is said to be considering cutting 1p or 2p from national insurance or income tax. Mr Hunt told Sky News that his last cut of national insurance in the autumn statement in November was a “turning point” and he hopes “to make some progress on that journey”.The chancellor is also planning to use the Budget to insist he can make public services more efficient, having announced plans to make the civil service more productive through the use of AI and better data.Mr Hunt is widely understood to be pursuing tax cuts in the hope of drumming up support for the government, despite recent polling showing that the public do not want to see tax cuts at the expense of public spending.In a survey by the Fairness Foundation, 64 per cent of voters support keeping taxes as they are or increasing them, while just 16 per cent say they want tax cuts if it means cutting public services.Jeremy Hunt hinted that he would be looking to cut taxes but insisted it would be in a ‘responsible’ wayOn Sunday, Mr Hunt said he had a “moral duty” to put more money back in workers’ pockets, but insisted any tax giveaways would be “responsible”.Mr Hunt told Sky News: “It’s going to be a prudent and responsible budget for long-term growth.” Conservative MP Sir John Redwood told TheSunday Telegraph that tax cuts should not be paid for with tax rises and that he “would strongly recommend that they forget all these new taxes and extra taxes and get on with the real job which is lower taxes”.Mr Hunt’s spokesperson declined to comment. More