Under 25 – six ways the Budget will affect you

The Budget will not only change the cost of a pint but also impact how much you pay for your council tax and student loan. Here is a quick guide to what the Chancellor announced and what it means for you

The Budget sets out the government’s economic plans for the year ahead, including tax and spending. On Wednesday, Chancellor Rishi Sunak delivered his Spring Statement, and we've summarised six key points that will affect people under the age of 25.

1. Council tax

Working-age people in England will get a one-off £150 council tax rebate to help ease the cost of living crisis. This will be paid to all households in council tax bands A to D in April. If you pay by direct debit, you should get the money paid into your account automatically. If you don’t pay by direct debit, you should get a letter telling you how to claim.

2. Fuel duty

The government has cut fuel duty by 5p per liter, which will save drivers about £2.50 per tank. This is the first cut in fuel duty for 11 years.

3. National insurance

The government is raising the threshold at which people start paying National Insurance by £300 to £12,570. This will save most people around £330 a year.

4. Student loans

The government is freezing the repayment threshold for student loans at the current level of £27,295. This means that graduates will not have to start repaying their loans until they are earning more than this amount.

5. Universal Credit

The government is reducing the Universal Credit taper rate from 63p to 55p. This means that people on Universal Credit will keep more of their earnings as they move into work.

6. Alcohol duty

The government is freezing alcohol duty for the second year in a row. This means that the price of alcohol will not increase in the next 12 months.