Key points from the Spring Budget 2024

Following the chancellor’s speech on Wednesday 6^th March, please see below a summary of some of the key points. Some of the announcements will require further consultation before rules are finalised and therefore may be subject to change.

• National Insurance contributions for employees and the self-employed will be cut by 2% from April. For employed workers this will affect earnings between £12,571 and £50,270, meaning a maximum annual saving of £754.
• A consultation on the introduction of a British ISA with a £5,000 allowance, in addition to the existing ISA allowance of £20,000. The money invested must be directed into UK listed companies.
• A reduction in the higher rate capital gains tax on property gains from 28% to 24%.
• Tax breaks for owners of holiday let properties will be scrapped.
• From April 2026 there will be changes to the child benefit system, to one based on household income, not that of individuals. Until then the threshold at which benefits begin to be withdrawn will be increased from £50,000 to £60,000 for the highest earning parent.
• Abolition of the current non-domicile tax status to a system based on residency, which will be introduced from April 2025.
• The threshold at which small businesses must register to pay VAT will be raised from £85,000 to £90,000 from April.
• The freeze on alcohol duty has been extended until February 2025.
•  Fuel duty will be frozen for a further 12 months.

If you would like to discuss any of the above, or anything else raised by this Budget, please contact your normal Dentons Wealth Adviser.

Although every effort has been made to ensure that the information provided in this article is accurate and correct, the information provided does not constitute any form of financial advice. We recommend that you take financial advice before making any financial decisions.