31/10/2024
A brief outcome of the Autumn Budget from the 30th Oct 2024
Chancellor Rachel Reeves announced Labour's first Autumn Budget in over 14 years, pledging to "invest, invest, invest" for growth and economic stability. This budget included £40 billion in tax changes and highlighted a £22 billion "black hole" inherited from the Conservatives.
Key tax measures include:
Employers' National Insurance contributions (NICs) will rise to 15% from April 2025, with a reduced threshold from £9,100 to £5,000.
Capital Gains Tax (CGT) rates for non-residential assets will increase to 18% and 24%, aligning with residential property rates.
Inheritance Tax (IHT) will keep the nil-rate band at £325,000, but from April 2027, inherited pension pots will be taxed.
The national minimum wage will increase to £12.21 in April 2025, and the Employment Allowance will rise to £10,500.
Spending measures include:
A £70 billion National Wealth Fund for investments.
Enhanced funding for health and welfare, including a 4.1% increase in state pensions and pension credits.
A focus on tackling economic inactivity and modernizing HMRC.
Reeves stated these choices aim to stabilize public finances and protect working people, emphasizing the importance of responsible decision-making.
Key Highlights:
NICs and CGT increases.
Frozen fuel duty for another year.
VAT on private education from January 2025.
Increased NHS budget by £22.6 billion.
For more details, check out the full announcement on our website www.branstonadams.co.uk or to discuss anything further email us on [email protected]
https://www.linkedin.com/posts/branston-adams-accountants_autumn-budget-2024-activity-7257760949166555138-IDBI?utm_source=share&utm_medium=member_desktop
