How much will frozen income tax bands suck out of your pay packet?

This is Money Podcast

This is Money

Business News, Business, Investing, News

4.1 • 650 Ratings

🗓️ 20 October 2023

⏱️ 66 minutes

🔗️ Recording | iTunes | RSS

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Summary

Wages are up, but inflation is… the same. What does it all mean for mortgage rates, the state pension, benefits and the economy generally?

One thing we know won’t be affected by the latest figure is income tax bands. Just how much is the big freeze – AKA fiscal drag - going to cost us?

That’s on the agenda for Simon Lambert, Lee Boyce and Georgie Frost this week as the latest CPI reading stuck at 6.7 per cent.

At the start of the year, Prime Minister Rishi Sunak set the target to halve inflation by the end of 2023.

And it was looking promising. But this latest inflation figures might have thrown a bit of spanner into the works.

What’s going on at Royal Mail? Some households say they are only receiving their post once a week.

Hospital appointment letters, birthday cards, parcels and important bills have all gone missing in delays caused by a staffing crisis.

In Brighton, households say they’re receiving mail as infrequently as just once a fortnight.

Picking an estate agent to sell your home is so important. A good agent will make finding your buyer seem like a breeze.

Choose the wrong one and it can cause untold stress, drag the whole process out and you could end up being forced to reduce your asking price and ultimately sell for less.

So how do you pick a good ‘un? And just what is gazundering – and why is it back with a vengeance?

The new Tesla Model 3 arrives on our fair shores in January - but how much will it cost and is it any good?

If it proves to be out of your budget range what about Citroen's new e-C3, set to start from around £17,000

And…range anxiety is real - so would you take an EV on a continental road trip?
Paul Barker, motoring journalist of decades, gave it a go and diarised it for you...

Transcript

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0:00.0	Welcome to This Is Money podcast. I'm Georgie Frost and joining me and Simon Lambert today is Lee Boyce.
0:07.7	And coming up, a busy week for financial journalists everywhere. Wages are up. Inflation is, well,
0:13.2	kind of the same. What does it mean for mortgage rates, the state pension, benefits and the economy
0:18.6	generally? Well, one thing we know won't be affected by the
0:21.5	latest figure is income tax bans. Just how much is the big freeze, a fiscal drag,
0:27.2	going to cost us. Also today, Royal Mail not delivering post, how to get a good estate agent
0:32.9	to sell your home, and we take a look at the new Tesla Model 3, way up the cheap entry level,
0:38.3	E-Citron, and ask, would you drive to France with an EV?
0:41.9	Don't be getting to up to date with all the latest breaking money news, just go to this ismoney.co
0:45.7	dot UK or download the app.
0:48.1	Don't forget, you can stay on top of what's going on in the markets by tuning in to
0:51.6	the Digest and Invest podcast by Itara.
0:53.8	Go to your regular
0:54.5	podcast platform and listen on the go. Digest and invest by Itora, the podcast for those interested
0:59.5	in trading and investing. But first, at the start of the year, Prime Minister Rishi Sunak set the
1:04.2	target to half inflation by the end of 2023. So that's just over 5%. And it was looking promising. But we have the latest
1:14.3	invasion figures and they might have thrown a bit of a spanner into the work. September CPI reading
1:19.6	came out at 6.7%. Exactly the same as August. So a few questions arise from this, many, but we don't have that long.
1:30.4	What will the Bank of England do next? Thus, where will mortgage rates head? We now know the
1:35.7	third lock of the triple log, but will it stay? Will benefits also rise in line with September's
1:41.5	inflation figures? And will Rishi reach at least one of his five targets.
1:47.8	Firstly, inflation figures came the day after we got wage growth data.
	...

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