Press release

Welsh Secretary: Budget secures sustainable economic recovery

Stephen Crabb: “This budget delivers economic security for people in Wales who work hard and want to get on.”

Today’s Budget builds on the progress made in the last Parliament to lock-in a sustained recovery in Wales, Stephen Crabb has said.

The Secretary of State for Wales spoke as the Chancellor unveiled measures including:

Rises to the personal allowance which will benefit 1.4 million people in Wales and will remove 29,000 individuals from paying income tax altogether

  • A new national living wage

  • Lifting the 40p income tax rate threshold to help those on middle incomes

  • Tightening up on tax loopholes for non-domiciles and using money from bank fines to benefit charities and war veterans

  • A cap on benefits and changes to tax credits to make the welfare system fairer

  • Freezing fuel duty for one year

  • Reducing corporation tax to 18 per cent by 2020, helping Welsh businesses reinvest more of their profit

  • £3m investment in the Digital Economy research hub in Swansea*

  • Increasing the permanent level of the annual investment allowance which will benefit 5,000 businesses in Wales

  • Extending the Communities Coastal Fund to 2017**

Stephen Crabb said:

Today’s Budget is all about securing a sustainable and affordable long-term recovery for people in Wales.

Because of the tough decisions taken in the last Parliament to get the national finances back under control, we can achieve a smoother path for the next five years. This means we can continue to provide help for those who need it whilst at the same time supporting people back into employment by making sure work pays.

The measures outlined by the Chancellor today will boost business in Wales and reward working people whilst making sure that those with the broadest shoulders bear the largest burden.

Notes to editors

  • *The Digital Economy research hubs are designed to work closely with industry to build on existing knowledge and skills. The Swansea centre is one of six hubs which will work on issues including healthcare and new motion capture techniques for the visual effects industry

  • **Since the start of the CCF £6.84m has been invested in Wales