Millions of workers to get a pay boost next year as personal allowance rises - explained

mirror.co.uk:

Millions of workers will get an automatic pay rise next year as the personal allowance rises in England and Wales. This is the amount you can earn without paying income tax - it’s currently £12,500.

The rate has been rising steadily in recent years, it rose to £11,850 in 2019 and £12,500 this year. Now it’s set to reach £12,570.

That means anyone earn above the threshold will get a £14 boost in their take home pay. The increase, hidden in the Spending Review small print, is linked to the Consumer Prices Index (CPI) – a rate of inflation - which came in at 0.5% in September. "The Government will increase the 2021-22 Income Tax Personal Allowance and Higher Rate Threshold in line with the September CPI figure," the Treasury said. "The