Madeleine is a widow, aged 66. Her children are now grown, so she has no dependants. She receives an occupational pension and a contributory old age pension. She gets tax relief in respect of rent paid on her home.
In the budget, the Government raised the full personal rate of all old age and related pensions by £5 per week, and Madeleine will benefit directly from this.
Although her taxable income remains virtually the same from the current financial year to the next, the amount she pays is actually less, and the allowances she has before tax have increased.
She is also reassured to see that additional spending on health has been announced, and that there are now strong incentives to build nursing homes.
She continues to benefit from free travel on all public transport, and there is no indication this could be taxed as a benefit in future budgets. Although there is no extension of the £800 tax relief at the standard rate for installing a burglar alarm, she will still be entitled to claim other benefits, such as free phone rental.