BUDGET AT A GLANCE
INCOME TAX CUTS
● The 45% higher rate of income tax for those earning more than £150,000 will be scrapped entirely, meaning tax will go down to 40% on all incomes above £50,271.
● The basic rate of income tax will be cut from 20% to 19% in April 2023, saving 31million people an average of £170 a year.
● The 1.25% rise in national insurance will be reversed in November.
BUSINESS TAX CUTS
● The planned rise in corporation tax from 19% to 25% will be scrapped.
STAMP DUTY
● No duty on first £250,000 of property’s value, up from £125,000.
● For first-time buyers, there will be no duty on first £425,000, up from £300,000.
● The value of the property on which first-time buyers can claim relief will also go up from £500,000 to £625,000.
BENEFITS
● About 120,000 more people on Universal Credit will be asked to take steps to seek more work, or face having their benefits reduced.
● Jobseekers over 50 to be given extra time with work coaches to help them return to job market.
ENERGY
● Energy bills will be frozen at £2,500 in a bid to reduce inflation by 5 percentage points.
● Households will also receive a £400 energy bill support to be paid in six monthly instalments from October, saving them £1,400 a year in total.
● Vulnerable households will get extra support totalling £2,200 a year.
SHOPPING
● Overseas visitors will enjoy VAT-free shopping.
● Alcohol duty will be frozen from February 2023, saving 7p on a pint of beer, 4p on a pint of cider, 38p on a bottle of wine, and £1.35 on a bottle of spirits.
INVESTMENT ZONES
● Investment zones being discussed in 38 local areas across England with view to cutting planning rules, EU regulations and environmental assessments in an effort to speed up building.
● Tax cuts will also be offered to free up land for housing and commercial use
STRIKES
● Plans to force unions to put pay offers to a vote of their members so that strikes can only be called once negotiations have fully broken down.