Today the Chancellor gave his first budget and Derbyshire and the East Midlands is set to receive substantial investment from the Conservative Government.
Making his first budget since he became Chancellor in the last reshuffle, Rishi Sunak announced the first budget of the decade and charted the UK’s financial course in the first budget since the UK has left the European Union.
The budget included big spending increases and will bring public net investment to the highest level since 1955. Derbyshire and the East Midlands is set to receive a substantial amount of this investment.
Funding announcements for the Derbyshire and the East Midlands include a £161 million from the Transforming Cities Fund for Derby and Nottingham. This will fund a £25 million bus rapid transit system in Derby and will provide £10 million for a new cycle route between Nottingham, Derby and the East Midlands Airport.
£500 million will provided for major road schemes between 2020 and 2025 in the East Midlands, and this will be supplemented by a £56 million boost to road maintenance funding. The Government has also announced plans £20 million investment in a Midlands Rail Hub which fund a series of upgrades to improve connected between cities and towns across the Midlands.
The East Midlands will also receive a substantial increase in flood defence funding and a share of the £2.7 billion allocated for six major hospital schemes.
Tax and wage changes will also have an impact on people across the East Midlands. The National Living Wage increases will result in 182,000 people getting a pay rise. The Chancellor today announced further changes to National Insurance. The National Insurance threshold will be increased from £8,632 to £9,500. This move will see 2.2 million people in the East Midlands receiving a tax cut and will life 83,000 people out of paying Class 1 and Class 4 NICs.
The Chancellor also announced a raft of measures to support the economy and workers from any potential shocks from coronavirus.
Other provisions that were in the Budget included plans to axe VAT on sanitary products, a further freeze on fuel duty, freezes in spirit, wine and cider duty, and a business rates discount worth £5,000 for pubs.
The budget has been welcomed by Conservative MP, Amanda Solloway. Solloway, who represents the constituency of Derby North, said:
“This Budget shows that the Conservatives are committed to delivering on their manifestos promises and level-up the country. We are delivering on the people’s priorities and gets stuff done.
I am delighted that we have set out measures to support families with the cost of living, whilst support pubs and businesses across the country. This will lay the foundations for years of growth ahead.
This Budget is what my constituents in Derby North need, and I will be proud to vote for it when it comes to the House.”