Lib Dems claim 15,586 pensioners in Harrogate and Knaresborough to be hit by £1,000 'stealth tax' following the Budget

Research by independent British think tank, the Resolution Foundation, has found pensioners are set to lose out from Chancellor Jeremy Hunt’s decision to freeze income tax thresholds.

It calculates that this will lead to a £8 billion ‘tax bombshell’ for pensioners across the country by 2027-28, losing an average of £1,000 each.

Further analysis by the national Liberal Democrat party suggests this will impact on the estimated 15,586 pensioners in Harrogate and Knaresborough who pay income tax.

Tom Gordon, Liberal Democrat spokesperson for Harrogate and Knaresborough, said: “Pensioners who have worked hard and paid taxes all their lives are now being hit by this Conservative government with a £1,000 stealth tax.

“Many elderly people are already struggling to make ends meet as heating bills and the cost of the weekly shop go through the roof.

"Even Harrogate and Knaresborough are not immune to the realities of Tory mismanagement of the economy and country.

"Just this week, when out speaking with local residents on the doorstep, I have had more than one pensioner answer their doors with their coats on because they were worried about putting the heating on.”

Mr Gordon said he was pleased to see Liberal Democrats becoming the first party to commit in full to the triple lock for the upcoming election, which ensures pensions will see an increase by whichever is highest of average earnings growth, CPI inflation, or 2.5%.

“We are proud of our record of backing the triple lock to protect people’s pensions,” he said.

"We will stand up for the pensioners in our community who have been cruelly abandoned by the Conservatives, including calling on the Government to double the Winter Fuel Allowance.”

But Chancellor Jeremy Hunt defended the Government’s record, saying: “We’ve done an enormous amount for pensioners.

"This government introduced the triple lock. We have prioritised pensioners."

The state pension is to rise by 8.5 per cent in April – equating to £900 extra a year for the average pensioner.