What happened: The Resolution Foundation reports that Labour's decision to freeze income tax thresholds instead of raising income tax has negatively impacted low- and middle-income earners.
Why it matters:
- Millions of workers face higher tax burdens due to frozen thresholds.
- Low- and middle-income households experience reduced take-home pay.
MNN Take: Freezing income tax thresholds means more earnings become taxable, effectively increasing tax for many workers without raising tax rates directly.
Sources: Sky News (Breaking)