Raise the income tax personal allowance from £12,570 to £15,000, funded by higher taxes on alcohol and tobacco.

This puts money back in the pockets of workers, reduces pressure on the NHS, and aligns with the moral values of faith-driven and multicultural communities like Newham.

Why this works:

• Real savings for workers: A £15k threshold means workers could save £500+ a year in tax. That’s cash for bills, groceries and rent.
• NHS relief: Smoking and alcohol cost the NHS over £7.5 billion/year in England.
  
  • Smoking: £2.6bn/year
  • Alcohol: £4.9bn/year
• Morally aligned: Islam forbids alcohol and smoking (haram). Christianity and Sikhism also encourage avoiding harmful, addictive habits. In Newham, over 70% of people are from religious communities that already avoid these substances.
• It improves health:
  • Tobacco: Every 10% price rise reduces smoking, especially among young people and lower-income groups (WHO)
  • Alcohol: Duty cuts 2012–2019 led to 1,969 more alcohol deaths (SARG/IAS Report)
• Most people benefit: If you don’t drink or smoke, you pay nothing extra. You only gain. Even for modest users, the tax saving outweighs the duty hike.

Why Newham should lead:

• High poverty, low wages: Many would stop paying income tax entirely.
• Health harms: Smoking and alcohol abuse are major issues locally.
• Faith-based leadership: 34.8% of residents are Muslim. Faith groups have already partnered on anti-smoking campaigns (Newham Council).
• Moral and cultural fit: This policy aligns with the borough’s values - reward good, discourage harm.

What we’re asking:

We urge Labour to adopt this proposal in their next Budget:

• £15,000 tax-free personal allowance
• Funded fairly by alcohol & tobacco duties
• Boosts working families, protects the NHS and reflects the moral will of the people

Support a healthier, fairer UK. Let’s make this change together.