The Spring Budget was delivered by The Chancellor, Jeremy Hunt today.
The key points are as follows:
Corporation tax will rise from 19% to 25% for businesses who make a profit over £250,000.
Small businesses Annual Investment Allowance will be increased to £1 million. There is also an introduction of full capital expensing for the next three years. This means that every pound a company invests in IT equipment, plant or machinery can be deducted in full and immediately from taxable profits.
The pensions tax-free annual allowance will be increased from £40k to £60k and will abolish the Lifetime Allowance, which was previously set at £1.07m.
There will be a new apprenticeship created for over 50’s called “returnerships”.
Introduction of 30 hours free childcare of every child over 9 months to eligible households will be rolled out in stages from 2024. Working parents of two-year-olds will be able to access 15 hours of free care from April 2024. From September 2024, 15 hours will be extended to all children from 9 months upwards, then from September 2025 every working parent of children under 5 will have access to 30 hours free childcare per week.
The energy price guarantee, due to go up from April to £3,000, will stay at £2,500 for the next three months.
The government will consult shortly on the introduction of a new criminal offence for promoters of tax avoidance who fail to comply with a legal notice from HMRC to stop promoting a tax avoidance scheme.
The government will also consult on expediting the disqualification of directors of companies involved in promoting tax avoidance including those who exercise control or influence over a company.
Please click the link to read the full Spring Budget: Spring Budget 2023 (publishing.service.gov.uk)