Chancellor Unveils His First Full Budget

The Chancellor of the Exchequer, Jeremy Hunt MP, unveiled his first full budget today in the House of Commons. There are a myriad of measures included, with many aimed at businesses. Some key business-related changes include:

  • £63m for programmes to encourage retirees over 50 back to work, “returnerships” and skills boot camps
  • Immigration rules to be relaxed for five roles in construction sector, to ease labour shortages
  • Main rate of corporation tax, paid by businesses on taxable profits over £250,000, confirmed to increase from 19% to 25%
  • Companies with profits between £50,000 and £250,000 to pay between 19% and 25%
  • Companies able to deduct investment in new machinery and technology to lower their taxable profits
  • Reduced paperwork for international traders, who will also be given longer to submit customs forms under streamlined rules

and on the economy (these are forecasts, not fact!):

  • Growth of 1.8% predicted for next year, with 2.5% in 2025 and 2.1% in 2026
  • UK’s inflation rate predicted to fall to 2.9% by the end of this year, down from 10.7% in the last three months of 2022

A useful summary of the main points can be found on the the BBC Website and for more in-depth details and much of the material backing up the rationale and analysis, the GOV.UK website has comprehensive details.