What has happened?
On 22nd November 2023, Chancellor Jeremy Hunt issued HM Government’s Autumn Statement, covering its tax and spending plans.
What are the key points of the statement?
The key points likely to be of interest to our clients are below.
- From April 2024, the Government will increase the full new state pension by 8.5% to £221.20 a week.
- The Government will consult on giving people one pension pot for life, with a "legal right to require a new employer to pay pension contributions into their existing pension".
- The main employee National Insurance rate will be cut from 12% to 10% from 6 January 2024?.
- The Government will abolish Class 2 National Insurance (paid by the self-employed) altogether for those earning over £12,750 and will also reduce the rate of class 4 National Insurance contributions.
- The Government is making permanent a tax break for businesses which allows them to offset investment in machinery, IT and equipment against corporation tax.
- The government will simplify the ISA regime to make it easier for consumers to invest. The simplification will include the expansion of investment opportunities available in ISAs, which will include long-term asset funds and open-ended property funds "with extended notice periods". Long Term Asset Funds (LTAFs) will be brought into the scope of Innovative Finance ISAs from April 2024, according to the Autumn Statement, alongside open-ended property funds with extended notice periods.
- Fractional shares contracts will also be available for purchase through ISAs, with the Statement revealing that certain fractional share contracts will become eligible ISA investments, and that further engagement with stakeholders will take place to finalise the implementation of this.
How can we help you?
Thistle Initiatives has supported firms for over 10 years as a trusted compliance and regulatory advisor. In addition to assisting you as-and-when, our team of specialists can serve as your right hand in meeting and complying with FCA regulations. We understand the importance of staying up-to-date and compliant and are dedicated to providing the guidance and support needed to do so.
Are you looking for help with your assessment of the impact for you of incoming legislation, or more general regulatory questions? Contact our specialist team now to schedule a free consultation. Get in touch with us by calling 020 7436 0630 or sending an email to info@thistleinitiatives.co.uk.