UK BUDGET ANNOUNCEMENT
30th October 2024
This budget will raise taxes by £40bn
The minimum wage will be increasing by 6.7% to £12.21, while for those aged 18-20 will get a 16.3% bump to £10 an hour;
National Insurance contributions for employers will increase from 13.8% to 15% from April 2025;
The threshold at which businesses start paying NI on workers’ earnings will be lowered from £9,100 to £5,000;
Increasing the lower rate for capital gains tax from 10% to 18%, with higher rate going from 20% to 24%;
£22.6bn increase in day-to-day health budget and £3.1bn increase in capital budget in this year and next;
VAT introduced on private school fees from January 2025;
No extension on the freeze in income tax and NI thresholds;
Extra £3.4bn for the Scottish government, an extra £1.7bn for the Welsh government and an extra £1.5bn for Northern Ireland;
£6.7bn of capital investment into the Department for Education, including £1.4bn to rebuild over 500 schools;
£5bn of investment on housing, including £3.1bn in increases to the Affordable Homes Programme;
Non-dom tax regime abolished;
Fuel duty will be frozen next year;
Inheritance tax thresholds will be frozen for a further two years until 2030;
Increasing core schools budget by £2.3bn;
Tripling investment in school breakfast clubs;
£11.8bn will be provided to compensate those infected and affected by the infected blood scandal;
£1.8bn will be provided to compensate the victims of the Post Office Horizon scandal;
£1bn provided from next year to extend the Household Support Fund;
£500m increase in road maintenance to tackle potholes;
Windfall tax on oil and gas profits to increase to 38%;
£2.9bn added to the Ministry of Defence budget;
Draught duty cut by 1.7%, taking a penny off pints in pubs;
Renew the tobacco duty escalator at RPI +2%, increase duty by 10% on hand-rolled tobacco this year;
Introduce a flat-rate duty on all vaping liquid from 2026, and a one-off increase in tobacco duty;
Increasing the rate of air passenger duty by 50% for private jets;
Weekly earnings limit for Carer’s Allowance raised to the equivalent of 16 hours at the National Living Wage per week.
