Spring Budget 2024: British Isa announcement receives mixed reactions
A British Isa – or BRISA – will be launched alongside other existing tax wrappers, allowing savers who reach the £20,000 tax-free threshold to invest an additional £5,000 in UK stocks. The plan is to bolster the ailing UK stockmarket, although the plan has come under fire for increasing complexity and potentially portfolio concentration risk.
Spring Budget 2024: National Insurance cut by 2% – but could be a ‘sneaky tax grab’
National Insurance will be by 2p, which could save the average earner in the UK £450 a year when it comes into effect on 6 April.
While some financial services professionals say the move will help to quell some of the claims of generational unfairness”, other warn any savings will be eroded over time due to the freeze of tax thresholds and allowances.
Spring Budget 2024: Pensions to disclose amount invested in UK equities
Pensions funds will have to disclose the amount the invest in international equities and UK stocks, with action to be taken if allocations to the home market are too low. The plan received a mixed reaction, with some professional investors warning it could hinder, rather than help, UK Plc.
Spring Budget 2024: Inflation to fall faster than expected but debt-to-GDP disappoints
Figures from the Office for Budget Responsibility (OBR) found that inflation is set to fall below the 2% target faster than anticipated in the Autumn Statement, although national debt projections remain higher than expected.
Spring Budget 2024: Green industry funding and windfall tax extensions
More funding for green industries, giving the FCA powers to regulate ESG ratings providers and doubling down on nuclear power were among some of the sustainability-related announcements.
Spring Budget 2024: Natwest share sale on track for the summer
Plans to begin selling some of the government’s shares in Natwest to the public were unveiled, which will commence “at the earliest opportunity” this summer, subject to supportive market conditions.
Spring Budget 2024: Chancellor increases VAT threshold
The VAT threshold was increased from £85,000 to £90,000 while £200m will be given to extend business rate support for small-to-medium enterprises, as part of a package aiming to help smaller UK businesses.
Spring Budget 2024: Higher property capital gains tax dropped to 24%
The higher property capital gains tax threshold will be reduced from 28% to 24%, in a bid to convince second homeowners and landlords to sell additional properties
Spring Budget 2024: Non-dom tax replaced with ‘modern residency system’
‘Non-dom’ tax rules will be eliminated after the first four years of a non-domiciled resident living in the UK, after which they will face the same taxes as other UK residents.
While new arrivals will pay no additional tax for the first four years, after this period, they will be taxed the same as other UK residents. Chancellor Hunt said the change in regulation will bring in £2.7bn each year.
