TWO MPs from Dorset were among a handful to vote against the Prime Minister’s bill on the health and social care tax, which will increase national insurance by 1.25 per cent for workers and employers.
The new UK-wide tax will take effect from April 2022 and fund social care in England, helping the NHS recover from the pandemic.
Only 10 Tory MPs voted against the Prime Minister’s plan to increase national insurance by 1.25%, despite policies contrary to Mr Johnson’s pledge in the 2019 election manifesto not to raise taxes .
Two of the 10 MPs to vote against the plan were MPs from Dorset, Sir Christopher Chope and Richard Drax.
In a speech to the House of Commons on Tuesday, South Dorset MP Richard Drax said: ‘The NHS has become a religion – no one dares take its name – but a radical overhaul of health benefits is crucial if we don’t want to invest money in a black hole, we have heard that expression many times today, but it is a bottomless pit. Without reform, this money, well intentioned by the government, will disappear.
“I sympathize with the government and the Front Benchers because these are unprecedented times, but I urge them: do not get into Labor-lite now. With our finances in a perilous state, we have to get out of this situation. we need to galvanize our economy.
âLet me remind the House that we are talking about taxpayer dollars, something that as Conservatives we should not waste. Those on this side of the House are responsible for people’s money or we are not Conservatives at all. ”
The National Taxpayer’s Alliance has revealed that workers will see a total national insurance bill more than seven times that of retirees, at Â£ 4,662.
John O’Connell, chief executive of the TaxPayers’ Alliance, said: âWorking taxpayers will be hit with this disproportionate tax increase from the Tories.
âAlthough it claims to share the burden, national insurance hits low-wage workers and struggling employers harder. This levy lays the foundations for an increase in demands for cash after the next elections, without permanently sorting out social assistance.
“Time will tell if Boris will end up breaking another promise and raising workers’ taxes again without properly fixing the welfare system.” ”
Statistics from the Golf Travel Center suggest what the tax increase will cost in luxuries such as parties, take-out and holidays.
Employees earning Â£ 20,000 a year will pay an additional Â£ 130 in tax, which equates to a three-month gym membership or one night at a luxury hotel in the UK.
Employees earning Â£ 30,000 per year will be taxed an additional Â£ 255 per year, equivalent to the cost of a first class Eurostar ticket, or a month-long grocery store and restaurant meal for one person.
Top taxpayers (Â£ 100,000) will pay an additional Â£ 1,130 in tax, equivalent to a three-night stay at a five-star hotel in the Algarve or season passes to Arsenal.