On Wednesday, October 30th, Chancellor Rachel Reeves presented her budget speech – but what did it include? Firstly, this year marked Labour’s first Autumn Budget in 14 years. The speech covered several key areas regarding tax changes and initiatives that will help boost the UK’s economic growth.
The first woman to deliver the Autumn Budget, Chancellor of the Exchequer Rachel Reeves, stated that her main priority was to ‘fix the foundations and deliver changes’. Throughout the speech, the Chancellor touched on various topics, mainly including:
- Tax measures
- Public spending and investment
- Employment and skills
- Pensions
- Benefits
- Property
The speech revealed that numerous measures will be put into place, aiming to address the economic challenges that we’re currently facing in the UK while implementing our new Labour Government policies.
Key Takeaways
Although the speech touched on many changes that we’re going to see in the near future, there are several important points to be aware of:
- Personal tax rates and allowances on incomes will continue to be frozen at current levels with no increase until 2028/29
- No changes to income tax on reliefs on pension schemes
- Substantial increases in Employers’ National Insurance Contributions from 6 April 2025
- Increase in Capital Gains Tax rates from 30 October 2024
- Stamp Duty Land Tax surcharge for buying additional dwellings increased from 31 October 2024
- Confirmation that VAT will apply to private school fees from January 2025
- Major changes to the taxation of ‘non-doms’ from April 2025
- IHT agricultural and business property reliefs restricted from April 2026
- A total of £40bn worth of tax rises – with £240 million to be invested in local services
- The national minimum wage is set to increase by 6.7% to £12.21 for a full-time worker in April 2025
Download our Autumn Budget 2024 updates for more information!
Keli Evans is a dedicated Director at LJS Accounting Services and a seasoned professional in the realms of taxation and statutory accounts. Her expertise spans all aspects of tax, and she excels in the meticulous preparation of statutory accounts. Keli’s passion lies in forging strong client relationships and leveraging her skills to help them achieve the utmost potential for their businesses.
At LJS Accounting Services, Keli’s leadership is marked by her adept management of a diverse portfolio, spanning small and corporate clients, and her oversight of vital financial facets such as VAT, payroll, pensions, and taxation. Her holistic approach and commitment to excellence make her an invaluable asset in the financial realm.
