UKIP's Manifesto‎ > ‎

Sound National Finances, a Lower Cost of Living

UKIP will invest in the NHS and care for the elderly. We will fund our schools, build more houses, and rebuild our depleted armed forces.  We will do this without adding a single penny to anyone’s tax bill.  Our cost-of-living package will also save households £400 a year. 
Brexit means we can take back control of those important areas of economic policy we have been forced to surrender to the EU for the last forty-five years. We will resume full responsibility for taxation and have more room for manoeuvre when it comes to industrial and regional policy, without having to worry about EU ‘state aid’ rules. 
UKIP has always made the case for lower taxes and an end to wasteful public spending programmes. We will scrap white elephant vanity projects such as HS2, replace the out-dated Barnett Formula with a fair funding formula based on need, reduce foreign aid to 0.2 per cent of Gross National Income, and end our financial contributions to the EU budget.
These savings will provide us with £35 billion to fund our public service priorities. By keeping taxation low and incentives for wealth creation high, we will unleash the hardworking, entrepreneurial instincts of the British people. 
CUTTING THE COST OF LIVING UKIP will remove VAT from domestic energy bills and scrap the green levies currently added to our bills to subsidise renewable energy schemes. Together, these measures will cut typical household energy bills by £170 a year. 
Our plans to abolish the TV licence will eventually save households another £147. 
UKIP will phase out the licence fee over three years, giving the BBC time to adopt a new funding model based on subscription and/or advertising. We will expect the BBC to retain a core free-to-air offering on Freeview, maintain the World Service and its local radio network. Grants from a new public service broadcast fund, financed from within current government resources, will be available to any broadcaster for specific programmes or projects.
We will remove VAT from hot takeaway food such as fish and chips, and from women’s sanitary products.
FAIRER, LOWER TAXES Our economic approach revolves around restoring incentives for workers by cutting taxes and ending the open door immigration that keeps wages low. Reducing the tax burden on working people in the bottom and middle ranges of the income scale is our priority. 
By the end of the next parliament UKIP will raise the personal allowance to at least £13,500 so people can earn enough money to cover their basic living costs before the state takes any of their income. We will also 
raise the 40 percent income tax threshold to £55,000. A tax originally designed for high earners should not be levied on middle-income professionals such as teachers and senior nurses. When economic conditions allow, we will restore the personal allowance to those earning over £100,000.
UKIP will raise the inheritance tax threshold to £500,000 per individual, transferable for a married couple or those in civil partnerships, so up to £1000,000 in total. Eventually we want to eliminate inheritance tax altogether. We will also scrap Tory plans 
for new and punitive probate charges.  
FLEXIBLE PENSIONS  FOR WOMEN The rise in the retirement age to 66 by 2020 and to 67 by 2028 has been hugely unpopular, especially for women, who until 2010 could retire at 60. UKIP’s policy is to introduce a flexible state pension window, so everyone can opt to retire earlier, for a slightly lower state pension, or work longer for a slightly higher pension, as is the case at the moment. 
We will allow women to  retire on this basis at 60,  if they so wish. 
Time and again you will see the Conservative Party giving favourable treatment to the rich and powerful  and dumping on the up-and-comers. It is not an attractive trait. UKIP’s economic agenda is to speak up not just for the left behind but for the left out, those  who work hard and play by the rules but have no  special connections or market power.
CRACKING DOWN ON  CORPORATE TAX DODGING The public has every right to be angry when multinational corporations fail to make their proper contribution to Britain’s running costs. PAYE is not voluntary, and corporation tax should not be voluntary either.
We will not let large companies get away with paying zero or negligible corporation tax. When we leave the EU, we will close the loophole allowing businesses to pay tax in whichever EU or associated country they choose, and bring in any further measures necessary to prevent large multinational corporations using aggressive tax avoidance schemes. 
UKIP is not in the pockets of big businesses and we will make them pay their way. 
BREXIT: THE BOOST TO THE ECONOMY If Britain leaves the EU without a free trade agreement and we trade with the EU on World Trade Organisation terms, the Treasury will receive a tax windfall of some £11 billion from import tariffs annually. This bonus could be used to fund an across the board cut in VAT to compensate 
consumers for slightly higher prices, or other spending priorities. In this event, UKIP will also:
• Encourage a Buy British campaign: if the EU were seen to be punishing Britain, we believe the home market would support home produced goods
• Cut unnecessary EU regulation from the 88 per cent of the UK economy that is not linked to trade with EU countries Prioritise free trade agreements with non-EU countries.
RETURNING TO SOUND FINANCES The annual public sector deficit may be reducing slowly, but our national debt has been doubled by the Conservatives, since they took office in 2010, to a record high. There can be no more backsliding on returning to sound public finances. We will support deficit reduction schedules put forward by the next government and vigorously oppose unnecessary spending plans. 
Only by backing enterprise, rewarding success and tackling waste in the public sector can we hope to improve the economic legacy we pass on to future generations.