Budget Updates

Stay up-to-date with our spring and autumn budget updates, where we’ll provide you with expert analysis and insights on what it all means for you and your finances.

Spring Budget 2023

Chancellor Jeremy Hunt presented the Spring Budget, with a focus on stimulating the economy while balancing economic and political concern. Some tax rate changes were announced by the Chancellor. However, he had to ensure a balance between longer-term economic goals and current concerns about inflation and cost of living.

Some important tax changes to keep in consideration for 2023/24 are:

• Most main tax allowances and reliefs remain unchanged. However, the threshold for additional rate taxpayers is reduced to £125,140.
• Annual allowance for pensions will increase by 50% to £60,000. Plus, the money purchase annual allowance will rise from £4,000 to £10,000.
• The capital gains tax exempt amount is reduced from £12,300 to £6,000 for 2023/24.
• The corporation tax increase announced by Rishi Sunak when he served as the Chancellor pushes the rate to 25%.
• The pensions lifetime allowance is set to be abolished from April 2024, after the lifetime allowance charge is removed from April 2023.
• The dividend allowance is cut from £2,000 to £1,000 for 2023/24.
• Companies investing in new plant and machinery in the three years from 1 April 2023 can claim a first-year allowance of up to 100% of expenditure.
• For Scottish taxpayers, the higher and top rates of tax increase by 1% to 42% and 47%, respectively.