The Chancellor, Jeremy Hunt, has announced his economic plans with £55bn of tax rises and spending cuts.

He said there needs to be “difficult decisions” and a “relentless fight” to bring down inflation.

The announcement included a rise in the National Minimum Wage, the state pension and working-age benefits.

Union leaders, however, said that workers are being forced to pay the bill for the Tories 'crashing the economy'.

And the SNP said Scotland is being "short-changed".

Hunt’s Autumn Statement included:

On tax:

Tax rises of £25bn.

Reducing the earnings threshold for the 45p top rate from £150,000 to £125,000 a year.

Freezing the tax-free personal allowance for two years at £12,570 for the basic rate and £50,270 for those paying 40%.

Electric vehicles are no longer exempt from Vehicle Excise Duty.

Energy Profits Levy on oil and gas companies will increase from 25% to 35%, with the levy remaining in place until the end of March 2028, and a new, temporary 45% levy will be introduced for electricity generators.

On wages:

National Minimum Wage - Living Wage - rate to increase in April by 9.7% to £10.42 per hour, worth £1600 a year.

On benefits and pensions:

Uprate working age benefits by 10.1% in line with inflation.

Pension Credit to be increased by 10.1%, worth £900 for a single pensioner.

Protect the triple lock guarantee for the state pension, meaning a rise of £870 next year.

Someone on a full new state pension will see it increase from £185.15 per week to £203.85.

Pensioners will also receive cost of living payments of £300 and those on means-tested benefits like Pension Credit will get £900.

On Spending:

An extra £3.3bn for the NHS in England

£2.3bn extra for schools in England.

All other departments have budgets protected but asked to be more efficient.

The Chancellor said that means an extra £1.5bn in Barnett consequentials for the Scottish Government.

The SNP however said that is £200m less than the £1.7bn that has been cut from the Scottish Budget by inflation since last December.

Delivering his statement, Hunt said: “Families, pensioners, businesses, teachers and many others are worried about the future. Today we deliver a plan to tackle the cost-of-living crisis and grow our economy.

“To be British is to be compassionate. This is a compassionate Conservative Government.”

He said it meant “difficult decisions but a shallower downturn and lower energy bills.”

He added his “three priorities are stability, growth and public services".

SNP finance spokesperson Alison Thewliss said: "The Tories trashed the UK economy - and now they are making people pay the price for their failure with a new wave of painful austerity cuts.”

Glasgow Times:

She added: “There is £1.5bn for Scotland but the Scottish Government budget has been cut by £1.7bn since December. Scotland is being short-changed again.”

She said the increases were not “keeping pace with the cost of living”.

Thewliss added inflation is 11% and will be higher by the time changes come in. Food inflation, she said, is 16%.

She added: “Households are finding it impossible to make ends meet.”

Unions said it was a new era of austerity with spending cuts of £25bn.

Gary Smith, GMB general secretary, said: “The Tories have crashed the economy but it’s working people who are paying the bill.

“The Chancellor has decided to double down on the Conservatives' recipe for recession, ushering in a new era of austerity in public services.

“NHS workers from nurses and porters to paramedics, who put their lives on the line during the pandemic, are being thanked with yet another big real-terms pay cut.

“Even the Minimum Wage is being cut in real terms. It’s clear the Government no longer believes in clapping key workers and prefers to stick two-fingers up instead.”