Emergency statement delivered today

The new Chancellor, Jeremy Hunt, has issued an emergency statement announcing the reversal of almost all of the tax measures outlined previously in the mini-budget. A summary of the key points can be read below:

Reversing

- Basic income tax rate cut by 1p to 19%

- Off-payroll working rules (IR35) will no longer be repealed, meaning end clients will remain responsible and liable for determining employment status

- The cancellation of the corporation tax rise from 19% to 25%

- 2-year universal energy support package

- The removal of the 45p rate of income tax for highest earners

- VAT-free shopping scheme for non-UK visitors

- Freeze on alcohol duty rates

Continuing to go ahead

- No cap on bankers’ bonuses

- Reversal of the planned 1.25% rise national insurance

- No stamp duty on the first £250,000 of a property’s value, or the first £425,000 for first time buyers

The Chancellor's full plan will be published on 31st October.

For further information about how this could affect your business, please contact compliance@sbcontracting.co.uk.