Lib Dems want to end tax on the low paid

BUSINESS minister Jo Swinson yesterday told the Lib Dem spring conference that her party wants to stop workers on the minimum wage paying income tax.

Swinson said it was time to increase the personal allowance so “people working full-time on the minimum wage don’t pay any income tax at all”.

An employee working a 40-hour week on the £6.19 minimum wage currently earns around £12,800 a year, before paying more than £900 to the state in income tax.

The Lib Dems are set to make their role in raising personal allowances to £9,400 by next year a central plank of their 2015 election campaign and Swinson’s speech hints that expansion of the policy could be a future manifesto pledge.

“It’s not fair to ask low-paid workers to pay hundreds of pounds in income tax as they did under Labour,” she told the conference.