SPRING BUDGET ANNOUNCED! WHAT DOES IT MEAN FOR ME?

At 12.30 The Chancellor Jeremy Hunt, delivered his spring budget with one eye on a looming general election later this year. The Conservatives have said they want to reduce the tax burden on British workers and improve economic growth.

Nothing contained came as a surprise, here is a Summary of things that will benefit you.

National Insurance Reduction: The headline rate of national insurance for employees has been reduced by an additional two percentage points, from 10 per cent to 8 per cent. This measure, combined with the previous two percentage point cut announced in November, will save the average worker £900. Additionally, the rate for the self-employed will be lowered from 8 per cent to 6 per cent.
Alcohol Duty: The freeze on alcohol duty has been extended for a further six months until February 2025. This move is expected to benefit 38,000 pubs across the UK, providing relief to the hospitality sector.
Fuel Duty: Fuel duty has been frozen for the 14th consecutive year. Additionally, the chancellor has kept in place a 5p cut to petrol taxes that was introduced in 2022 to alleviate the cost of living crisis. This measure is expected to save the average car driver £50 next year.
Child Benefit Charge Threshold Increase: The threshold for parents paying the high-income child benefit charge has been raised from £50,000 to £60,000. This adjustment means that households where one parent earns more than £60,000 will have to pay back some of the benefit. The change is expected to benefit almost half a million families, with an average increase of nearly £1,300.
VAT Threshold for Small Businesses: The VAT threshold for small businesses has been raised from £85,000 to £90,000, effective from April 1. This adjustment will exempt approximately 28,000 small businesses from paying VAT altogether. Additionally, a government-backed loan scheme aimed at supporting access to finance for British businesses will receive a £200 million extension and be renamed the “Growth Guarantee Fund.”
Isa Reform: A new British Individual Savings Account (Isa) will be introduced, allowing an additional £5,000 annual tax-free savings allowance for investments in UK equities, on top of the existing Isa allowances. This move aims to encourage investment in the UK economy.