Spring Statement – no further tax increases but now is the time that the Autumn’s budget starts to bite.

In the run up to the event, the Chancellor stated that she ‘remains committed to one major fiscal event a year to give families and businesses stability and certainty on upcoming tax and spending changes and, in turn, to support the government’s growth mission’.

Proving true to her word, there were no real surprises in the Spring Statement; instead a somewhat gloomy update on the economy and the reconfirmation of measures already announced such as cuts to the welfare state and the civil service alongside an increase in defence spending. There were also announcements about the rollout of the Making Tax Digital (MTD) for Income Tax project and its expansion to include a wider range of small businesses.

For further details click here for our Streets Spring Statement Guide.

Although there were no tax changes to those previously confirmed in the autumn –  those announced tax increases which had not come into immediate effect, namely the hike in National Insurance contributions, living wage increase, changes to business rates, capital gains tax, and the shake up to the non-dom tax regime and the treatment of inheritance tax and pensions – these will all happen in April.

It is these changes, those already announced, that will have an impact on many of our clients and so now may be the time to come and talk to us about business and inheritance planning.