Autumn Budget 2024 Key Takeaway Points

As the UK Autumn Budget 2024 was unveiled today, public reactions have poured in, highlighting both optimism and concerns. 

From households to businesses, people are eager to understand how the proposed tax changes, energy initiatives, and funding adjustments will impact daily life and the economy. 

For many, questions remain: Will this budget provide relief amid rising costs, or will it tighten the squeeze on finances? 

Tax Director Liam Coulter lists his main takeaway points on what the Autumn Budget really means for individuals, businesses, and communities across the UK- at a first glance;

• The national minimum wage will rise in April 2025 to £12.21 per hour, moving towards a single national rate.
  
  
• Crackdown on umbrella companies and promoters of tax avoidance schemes.
  
  
• Fuel duty – frozen for next year.
  
  
• Employers’ NIC increases by 1.2% to 15% from April 2025.  And threshold decreased at which NIC becomes payable will fall steeply to £5,000 from £9,100.
  
  
• Employment Allowance to increase to £10,500 from £5,000.
  
  
• Capital Gains Tax – lower rate increase from 10% to 18% and higher rate from 20% to 24%. CGT on residential property remains unchanged.
  
  
• £1m Business Asset Disposal Relief to be retained, but with an increasing rate.
  
  
• EIS kept until 2035.
  
  
• Inheritance tax – threshold frozen until 2030.
  
  
• IHT – from April 2027 inherited pension to be included in IHT (details to follow).
  
  
• IHT BPR/ABR to be kept but less generous in future.
  
  
• Tobacco duty to increase with RPI.
  
  
• Air Passenger duty on private jets to rise.
  
  
• Business rates – existing 40% on business rates for the retail, hospitality and leisure industries will continue in 2025/6 up to a cap of £110,000 per business.
  
  
• Corporate Tax Roadmap to be published today – CT to be kept at 25%.
  
  
• Non-dom regime abolished from April 2025 with a new residence scheme.
  
  
• Carried Interest rate to increase from 2025 to 32%.
  
  
• Stamp Duty Land Tax – surcharge on 2nd homes from 31 October to increase to 5%.
  
  
• Energy Profits Levy to increase.
  
  
• VAT on private education from January 2025 and business rates relief to be removed.
  
  
• Tax relief for visual effect costs.
  
  
• Right to Buy discounts to be reduced  – so buying a council house will cost more.

Get in Touch

If you have Tax related questions and would like to get in touch with Liam and our team for advice,

call us on 0800 840 9293 or make an enquiry; lcoulter@wilson-nesbitt.co.uk