Category Archives: The Budget

Growth prospects remain uncertain, says Bank

Minutes from the latest meeting of the Bank of England’s rate-setting Monetary Policy Committee suggest that concerns persist about the UK economy’s ability to build up a head of steam in the recovery. Although the second quarter of the year …

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Review of IR35 ‘long overdue’

The IR35 regime requires a comprehensive review, the Recruitment and Employment Confederation (REC) has said. The government has already suggested that IR35 will form part of the examination of the business tax system that is to be carried out by …

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Tax measures will hit consumer budgets

The effects of the emergency Budget will be felt adversely by most households and consumers in the UK, a leading economics group has predicted. Capital Economics estimated that disposable incomes will decline by 1 per cent next year, the first …

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Tax system to be simplified

The UK tax system is be streamlined and made simpler in an effort to boost levels of investment in business, the government has announced. The Treasury has set up the promised Office for Tax Simplification (OTS) with the aim of …

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Pension annuities no longer to be compulsory

The government has announced that people will no longer be obliged to buy an annuity with their pensions. Under the present rules, anyone with a personal or company pension reaching the age of 75 must purchase an annuity. The annuity …

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Commons vote confirms VAT rise

Attempts in Parliament to head off the government’s proposed increase in the rate of VAT have been defeated. The Chancellor, George Osborne announced in the emergency Budget last month that the standard rate of VAT would rise from 17.5 per …

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Question mark over pre-Budget Report

It is thought that the government may look at removing, if only temporarily, the autumn pre-Budget Report. The pre-Budget Report was introduced by Gordon Brown when he was Chancellor. Press reports have suggested that a decision on whether to stage …

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SMEs urged to tackle problem of late payment

Too many smaller firms are failing to safeguard themselves against the problems posed by late payments. According to the Law Society, SMEs are having to wait an average of 41 days longer than the time agreed with customers before receiving …

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Drop in lending by government business loan scheme

 A business lending scheme backed by the government to ensure that viable small firms have access to finance has seen a marked fall in the number of loans it provides. The Enterprise Finance Guarantee (EFG) was set up by the …

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Small firms want the Budget to tackle the deficit

Two new surveys have revealed that large numbers of smaller businesses regard the reduction of the national debt as a priority for the emergency Budget. In a poll carried out by the Federation of Small Businesses (FSB), some 93 per …

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Emergency Budget set for 22 June

The Chancellor, George Osborne, has announced that the emergency Budget will be delivered on Tuesday 22 June 2010. It is thought the statement may be made at the later time of 3.30pm. The government has also returned the Budget to …

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Business welcomes coalition government

The business community has broadly welcomed the formation of the new Conservative-Liberal Democrat government as an important step towards offering stability and certainty. The Federation of Small Businesses (FSB) said that it was vital that both parties have made compromises …

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New coalition government outlines business and tax proposals

The UK’s first full coalition government since the Second World War is set to introduce a series of new tax and business legislation. The coalition agreement between the Conservatives and the Liberal Democrats has meant that both parties have had …

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Time pressures see three new taxes dropped

Three taxes introduced in the Budget last month have been dropped from the Finance Bill because of time constraints. With Parliament due to be dissolved soon, ahead of May’s general election, the government acceded to opposition pressure and agreed to …

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ISA changes receive muted welcome

The announcement in the Budget that the limits on ISA accounts are to rise in line with inflation has been met with a mixed reception. The Chancellor confirmed that, as from 6 April, savers will be able to invest up …

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Budget 2010: business reaction

Business groups have greeted the Budget with a guarded welcome. But while the measures designed to help businesses were applauded, doubts were expressed about the lack of a detailed plan for tackling the budget deficit. CBI Richard Lambert, the director …

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Budget 2010: an overview

“This will be a Budget to secure the recovery, tackle borrowing and invest in our industrial future” was how the Chancellor, Alistair Darling summed up the last Budget before the next general election. It was also a fair summary of …

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Budget 2010: an outline summary

The key points of the Budget. Business and personal taxes Stamp duty threshold for first-time buyers to rise to £250,000 and to be funded by a stamp duty charge of 5 per cent on residential property sales worth £1 million …

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Budget 2010: business tax

The Chancellor had been offering some strong hints that the Budget would include measures to help smaller firms in particular. One of those measures was the decision to increase the threshold for the annual investment allowance. This doubles to £100,000 …

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Budget 2010: personal tax

Perhaps the most eye-catching announcement of Alistair Darling’s 2010 Budget was the move to raise the stamp duty threshold for first-time buyers. For two years, the threshold will stand at £250,000, double its previous level. But to pay for the …

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