Mishcon de Reya highlights some of the main taxation points of interest from this year’s Spring Budget, delivered by Chancellor Philip Hammond on 8th March.
This year’s budget, which marks the last ever spring budget following the Chancellor’s announcement in 2016 that the budget will move to the autumn, was (as anticipated) light on noteworthy policy announcements and contained few surprises. The Chancellor highlighted record levels of employment and a year of strong growth but, with the formal process of the UK’s departure from the European Union imminent, the focus was very much on economic stability rather than on significant reform.
Taxation announcements of note include some concessions to smaller businesses affected by this year’s business rates increase, a national insurance increase for the self-employed, and an unexpected U-turn from the Government on the newly introduced dividend allowance. More generally, the Chancellor again focused on the economic future of the younger generation, announcing further funding for technical education, free and grammar schools, and for technology, research and innovation. He also acknowledged the pressures an aging population puts on the country’s economy and committed to making available an additional £2bn for local authorities in England to spend on social care over the next three years.
This briefing note was prepared by Mishcon de Reya’s tax team, who can be contacted here