Spring 2024 Budget Update
Chancellor Jeremy Hunt delivered his Spring Budget on Wednesday 6th March 2024, in which he stated that ‘lower taxes mean higher growth’, declaring it was his long-term ambition to continue to cut National Insurance, ‘to make work pay’. Below is a summary of the key points and what this could mean for you/your company.
For Businesses:
- Effective as of 1st April 2024, there will be an increase in the VAT registration threshold from £85,000 to £90,000.
- The windfall tax Energy Profits Levy for oil and gas has been extended for an additional year, now due to end in March 2029.
- The government is seeking to extend the full expensing scheme to include assets purchased for leasing purposes. As of yet, there is no proposed date for the extension of this relief, other than when fiscal conditions allow.
- The Recovery Loan Scheme, due to end in June 2024, will be extended for an additional two years and renamed as the Growth Guarantee Scheme. The Growth Guarantee Scheme will build on the work of RLS, helping smaller businesses access the right type of finance they need to grow and thrive.
For Individuals:
- From 6th April 2024, Employee’s Class 1 National Insurance Contributions main rate will be reduced from 10% to 8%. For those who are self-employed, the Class 4 NIC rate will also decrease from 8% to 6%.
- A reduction in Capital Gains Tax rates for residential properties from 28% to 24%.
- A new ‘British ISA’ is being introduced with an additional £5,000 allowance for investments in UK assets.
If you would like legal advice on any of the budget announcements, please call us on 01422 339600, or fill in our enquiry form. https://www.wilkinsonwoodward.co.uk/site/contact/make-enquiry/