Planning regulations will be relaxed on up to 12 sites earmarked for this scheme and taxes will be reduced to encourage investment. The announcement, which is expected to take deregulation beyond the post-Brexit freeports put in place by Boris Johnson’s government, will be part of a package that will also abandon the rise in national insurance contributions, a planned rise in corporation tax to abolish and make green levies temporarily removed from fuel bills. Although not officially billed as a budget, Kwarteng’s statement to MPs will weigh on most budgets in terms of its impact on public finances. The major tax changes followed in advance are expected to cost the exchequer at least £30bn a year. Kwarteng wants to use the statement to show that the government is making good on promises made by Liz Truss during her Conservative leadership campaign when she said investment zones would be at the heart of her plan to boost growth. The official budget is expected later. The West Midlands, the Thames Estuary, the Tees Valley, West Yorkshire and Norfolk are among the places where the new zones could be installed. Under plans outlined by Truss over the summer, each area will have a central area, where planning regulations and rules will be eased to encourage industrial, commercial and residential development, and a periphery where planning rules will be streamlined for housing. According to a report, the Treasury Department is considering whether, in addition to offering lower taxes for businesses operating in the zones, it could also offer lower personal taxes for people who live or work there. The policy is likely to focus on England first, although Truss wants to work with devolved governments to create investment zones in Scotland, Wales and Northern Ireland. During her leadership campaign, Truss also promised to reverse the increase in national insurance contributions implemented by the Johnson government earlier this year. This tax cut, which will disproportionately benefit wealthy workers, was initially thought not to come into effect before the start of the 2023-24 financial year, but there have been reports claiming it could take effect as early as November. Archie Bland and Nimo Omer take you to the top stories and what they mean, free every weekday morning Privacy Notice: Newsletters may contain information about charities, online advertising and content sponsored by external parties. For more information, see our Privacy Policy. We use Google reCaptcha to protect our website and Google’s Privacy Policy and Terms of Service apply. Kwarteng’s measures will come at the end of a frenzied 72 hours of announcements that will also see Jacob Rees-Mogg, the business secretary, announce details of how businesses will get help with their energy bills and Thérèse Coffey, the minister health. Make a statement to MPs on Thursday about plans to tackle delays and staff shortages in the NHS. During the leadership contest Truss said tax cuts, energy bills and the NHS would be her three immediate priorities when she took office. But the Queen’s death has put all government business on hold, meaning the announcements must now be rushed through a short period later this week before the party’s conference season kicks off.
