There was a tremendous amount of anticipation ahead of this Budget, with Rishi Sunak walking a fine line between further deployment of his ‘fiscal firepower’ and starting to repay the national debt.
Sunak added details to the numerous press leaks, with relatively few new surprises in store, presenting his tax and spending plans for the future.
Alongside the continuation of government financial support packages for individuals and businesses was two significant tax hikes; a series of ‘stealth taxes’ through frozen thresholds for various personal taxes, and then a whopping rise in corporation tax from 19% to 25%, with some interesting features which we have described later in this guide.
This Budget was in sharp contrast to Rishi Sunak’s first Budget last year when he had only been in Chancellor’s role for a few weeks. While light on humour, the speech was carefully considered and written and contained a little of something for most taxpayers.
Sunak set out his ‘three-point plan’ for the British economy, designed to ‘redraw the economic map’. He pledged to do whatever it takes to support individuals and businesses before promising to fix the public finances and build the future economy.
Within this briefing note, we have described the main Budget announcements as they relate to Financial Planning.