With a general election around the corner, Chancellor Jeremy Hunt stepped up to the dispatch box this week to deliver a ‘budget for long-term growth’.
Now the dust has settled and having combed through the fine print, our team has compiled the key takeaways for investors from the Spring Budget 2024.
Much of the headlines and press coverage has focused on how the UK’s non-dom tax status will be abolished with a simplification of the rules introduced meaning those with the ‘broader shoulders’ will pay more tax.
The move, which stands to raise £2.7bn affects people who live in the UK but for tax purposes are classed as living elsewhere.
Following the 2p cut announced in the Autumn, Hunt confirmed an additional 2p cut will take the National Insurance rate down to 8% from April. He also stated his long-term ambition is to cut this again when possible. Meanwhile Income Tax levels remain the same.
A new ISA, providing savers with an additional £5,000 allowance on top of the existing £20,000 annual allowance is to be created. Although no start date has been revealed, the money invested through this vehicle will be directed exclusively to British businesses. A British Savings Bond was also confirmed, however at this time, no details of interest rates have been released.
In a clampdown on holiday let owners, tax breaks for purchases such as furniture will be removed, and the ability to treat mortgage interest as an allowable expense will cease. While the higher rate of property capital gains tax is to be cut from 28% to 24% benefiting people who sell a property that’s not their main residence.
Moving forward, UK Defined Contribution, and local authority pension schemes will have to disclose the percentage they invest in UK equities.
As always, if you have any questions around the Budget or your investments in general, please contact your adviser to arrange a call at a time that suits you best.
To find out more about this topic and more, please fill in the form below to arrange a call back.
To access a full recording of the webinar, please fill in the form below. We'll email you a link to the video.
Stay up-to-date with financial news and insights delivered straight to your inbox. Sign up today.
The value of your investment can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance. Investing in shares should be regarded as a long-term investment and should fit in with your overall attitude to risk and financial circumstances.
The guidance and/or advice contained within this website are subject to the UK regulatory regime, and are therefore targeted at consumers based in the UK. Skybound Wealth Management Ltd is authorised and regulated by the Financial Conduct Authority. Registered Office - MBP3, Meadowhall Business Park, Carbrook Hall Road, Sheffield, S9 2EQ. Registered Number 04479650, England. Financial Conduct Authority Number 217994.
The information contained within this site is subject to the UK regulatory regime and is therefore targeted primarily at consumers based in the UK. The Financial Ombudsman Service (FOS) is an agency for arbitrating on unresolved complaints between regulated firms and their clients. Full details of the FOS can be found on its website at www.financial-ombudsman.org.uk. Neither Skybound Wealth Management Ltd nor its representatives can be held responsible for the accuracy of the contents/information contained within the linked site(s) accessible from this page.
