Fiscal Drag Squeezes Pensioners as Bank Holds Rates and Social Care Tax Looms

The government's freeze on tax allowances is costing pensioners dearly. Pensioners paid an extra £8bn in tax last year due to fiscal drag, with total tax bills soaring from £21.1bn to £29.8bn in just two years. This affects anyone whose income isn't keeping pace with inflation, as frozen thresholds drag you into higher tax bands automatically.

Fact Check

Claim: "Pensioners are being unfairly targeted by fiscal drag." Reality: The freeze on...