Jersey tax cuts and benefits increased in mini-budget

The plans mean a 12% increase in the amount people can earn before they pay tax

Jersey's government has unveiled a plan to tax islanders less and give some people more money in benefits to help deal with rising living costs.

Ministers say their mini-budget will put more than £56m back into islanders' pockets by the end of 2023.

If the States Assembly agrees to the plan in September, there will be a 12% increase in the amount people can earn before they pay tax.

Pensioners and islanders on income support will be given more money.

The mini-budget includes:

• An above inflation increase of 12% in income tax thresholds and allowances, including child allowances, additional allowance and child care tax relief, from 1 January 2023

• Income tax threshold for a single person would be raised from £16,550 to £18,550

• A temporary reduction of 2% in social security contributions from 1 October to 31 December 2022

• Doubling the cost of living temporary scheme from £20 to £40 per person per month, from August to December 2022

Deputy Ian Gorst, minister for treasury and resources, said tax threshold changes meant a single person earning £10 an hour would see an increase in their take home pay of £520 next year.

A married couple, with two children, who are both earning £12 an hour, would be £1,243 better off.

Minister for social security, Deputy Elaine Millar, said: "My aim is to make sure we are continuing to support lower income islanders and giving them the additional help they need with the rising costs of living."

Follow BBC Jersey on Twitter and Facebook. Send your story ideas to [e-mail].