Budget 2017: Philip Hammond mulling tax cuts for the young paid for by slashing pension tax reliefs

Caitlin Morrison
Follow Caitlin
Theresa May Meets Business Leaders At Downing Street
Philip Hammond will deliver his Autumn Budget next month (Source: Getty)

Chancellor Philip Hammond is planning a "big, bold" Budget with plenty of items aimed at pleasing young people, in a bid to win some of the youth vote back from Labour.

A Treasury source confirmed to City A.M. that Hammond has been seeking advice on addressing intergenerational fairness, with a focus on taxes.

Among his plans for the Autumn Budget, which will be unveiled on 22 November, are a potential writing off of student loans and a move towards building on the Green Belt, the Sunday Times has reported.

The chancellor is also said to be looking at lower tax rates for younger people, which would be paid for by slashing pension tax relief for better off workers, who are usually older.

His attempt at enticing young voters back to the Conservative party comes after a higher youth vote gave Jeremy Corbyn's Labour a boost at the last General Election.

Hammond's bombastic Budget plans have been revealed at a time of crisis for the chancellor, with a number of senior Tories calling for him to be sacked after comments he made about Brexit creating uncertainty in the UK economy.

"Philip has said that we have to have a radical budget, something that is a big offer to the nation," a senior government source told the Sunday Times.

"It means memorable stuff that changes thinking and changes peoples’ futures. Pre-conference there was very much a view that it had to be a safety first budget. Now the view has galvanised that this budget has got to be big, it’s got to be powerful, it’s got to be revolutionary.

"Saying it’s got to be brave is really understating it. People are very clear that this is basically the last chance."

Related articles