A comprehensive summary of the measures announced by newly appointed Chancellor Kwasi Kwarteng in his emergency budget speech on Friday 23 September 2022. Find out how the measures will affect you and your business.
Some of the biggest announcements covered are:
- Income Tax Cuts - The Government will abolish the additional rate of income tax (45%) which applies to income above £150,000. The additional rate for savings and dividends will also be removed.
- National Insurance Increase Reversed - NICs rates will be reduced by 1.25% from November 2022.
- Dividend Tax Rates Reduced - The basic and higher rates of dividend tax will be reduced to the 2021/22 levels of 7.5% and 32.5% respectively.
- Permanent Cut To Stamp Duty Land Tax - the limit has been doubled to £250,000 – and £425,000 for first-time buyers – in an attempt, said Kwarteng, to help families aspiring to own their own homes and boost economic growth by stimulating the property market.
- Universal Credit Administrative Earnings Threshold to Increase - The threshold will increase to 15 hours a week at the national living wage from January 2023.
- Coporation Tax Rise Cancelled - The impending CT rise to 25% next year has been cancelled which means all UK companies will pay 19%.
If you have any questions on how any area covered affects you or your business please don't hesitate to get in touch!
