A cut in National Insurance in next month’s Budget will be “wiped out” by hikes in Council Tax, Labour’s Shadow Financial Secretary to the Treasury has claimed.

James Murray told GB News: “This is an example of Rishi Sunak breaking his promise when he says he’s cutting taxes.

“Because if there’s any tax cut that people might get in National Insurance changes this year, they are going to be wiped out by increases in Council Tax.

“The truth is that the tax burden is still on course to be the highest for 70 years and there have been 25 tax rises in this Parliament alone. People across Britain are worse off.”

In a discussion during Breakfast with Eamonn Holmes and Isabel Webster, he continued: “The truth is the Government is effectively forcing councils to push up Council Tax and what the increase in Council Tax means is that any savings families might make from National Insurance cuts this year are being wiped out…

“The big difference under a Labour government comes down to the question of economic growth.

“Over the last 14 years, we’ve had economic failure from the Conservatives. We’ve had low growth and high taxes, public services are now on their knees.”

He added: “The way to get out of this doom loop that we’re in at the moment is to get the economy growing.

“That’s why we put our plan to get the economy growing, a plan for jobs across the country right, at the heart of everything we say we would do in government if we won the next general election.”

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