With the challenge of Covid-19, Rishi Sunak has delivered, on 11 march 2020, a budget which on paper promises a high level of support particularly to small businesses and also to individuals with the minimum wage/living wage being increased up to 51p an hour.
Changes to benefits also means extra money and assistance to help those on low incomes.
Funds have also been allocated to tackling the ever growing issue of homelessness and critical services such as the NHS will receive much needed funds to relieve the increasing pressures it has faced and is facing at this current time.
The Welsh Government will also be receiving a boost of £360m in funding.
What does it mean for taxes, duties and wages?
- The national insurance contributions tax threshold will rise from £8,632 to £9,500 from April.
- The national living wage is set to reach £10.50 an hour by 2024 ‘if economic conditions allow.’
- Tax paid on the pensions of high earners is to be recalculated.
- Fuel duty has been frozen for the 10th year.
- Duties on spirits, beer, cider and wine are also frozen.
- Tobacco taxes will continue to rise by 2% above the rate of retail price inflation, adding 27p to a pack of 20 cigarettes and 14p to a packet of cigars.
- The immigration health surcharge for non-UK nationals will be raised to £624.
- £4.4 billion will be raised to clamp down on tax avoidance.
- Rate for corporation tax will stay at 19%
The full budget is available to read Budget 2020