Campaign Calls for £18,000 Personal Tax-Free Allowance Ahead of September Deadline

A public petition advocating for an increase in the personal tax-free allowance to £18,000 is gathering support, with just 30 days remaining for people to add their signatures. Established by Mike Haynes, the petition targets HM Revenue and Customs (HMRC) and the Labour government to reconsider the current allowance, which has been frozen at £12,570 since 2021.

The freeze, initially set to end this year, has now been extended until 2031 by the Chancellor of the Exchequer, according to the petition. It highlights concerns that minimum wage earners may soon find themselves liable for income tax due to the effects of fiscal drag, while some higher earners reportedly benefit from accounting rules to reduce their tax liabilities.

“We want to keep some more of our own money,” the petition states. As of now, over 65,000 people have signed, placing the petition about halfway to the 100,000 signature threshold needed to secure a debate in the House of Commons. The campaign will remain open until 30 September 2026.

The issue has gained political attention, with the new Prime Minister indicating plans to address the ongoing cost-of-living crisis. Andy Burnham, Labour’s candidate who recently campaigned in a by-election, disclosed to The Times that concerns about the frozen personal allowance frequently emerged during door-to-door discussions.

Mr Burnham has expressed his intention to reform income tax policies if given the opportunity. Speaking on BBC’s Question Time in June, he supported raising the income tax threshold beyond £12,570 and indicated his team is actively exploring related policy development.

Furthermore, he mentioned that reinstating the 50 per cent top rate of income tax might be warranted before the current Parliament concludes. The petition’s outcome could influence ongoing debates around tax reform amid economic challenges facing the country.