The Treasury will be able to slash the basic rate of income tax by 2p if Britons who left jobs during the pandemic <a href="https://www.telegraph.co.uk/business/2023/02/21/why-retired-workers-will-never-solve-jobs-crisis/">return to work</a>, a Cabinet minister has declared.

Mel Stride, the Work and Pensions Secretary, who is responsible for overseeing the Government’s <a href="https://www.telegraph.co.uk/politics/2022/10/02/people-50s-who-left-work-wont-go-back-big-worry/">drive to boost employment numbers</a>, said there were still 400,000 fewer workers than before Covid.

A 2p <a href="https://www.telegraph.co.uk/tax/income-tax/income-tax-cut-tories-owe-britain/">cut in the basic rate of income tax</a> would mean a fall from 20 per cent to 18 per cent.&nbsp;

The decision is ultimately in the hands of the Treasury and Number 10.

The tax burden in the UK remains on course to <a href="https://www.telegraph.co.uk/business/2023/03/15/budget-2023-childcare-pensions-tax-latest-ftse-100-markets/">hit its highest point</a> since the years after the Second World War, despite 13 years of successive Conservative governments since 2010.

Basic rate can be slashed if those who left jobs during Covid pandemic return to employment, says Work and Pensions Secretary{ai:summary}<p>If pandemic job leavers in the UK return to work, the Treasury can cut income tax rates by 2p, according to Cabinet minister Mel Stride. Stride, who oversees government employment initiatives, said there are still 400,000 fewer workers than pre-Covid levels. Approval for a decrease in basic income tax from 20% to 18% rests with the Treasury and Number 10.</p><p>Despite consecutive Conservative governments since 2010, the UK's tax burden is nearing its highest level since the years after the Second World War. While an income tax cut is being considered, the Treasury has not yet made a decision.</p>

‘Go back to work and we can cut income tax by 2p,’ says Mel Stride

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