Autumn Budget 2017

This week, Chancellor Philip Hammond delivered his second budget, the Autumn Budget 2017. He reported on an economy that continues to grow, continues to create more jobs than ever before and continues to confound those who seek to talk it down.

So, what does it mean for us?

Consultation on IR35 in the private sector

The biggest announcement affecting the contracting world was the heavily anticipated consultation into IR35 reform in the private sector.

“The government will carefully consult on how to tackle non-compliance in the private sector, drawing on the experience of the public sector reforms, including through external research already commissioned by the government and due to be published in 2018,”

We will have to wait until next year to see if the government extend the public sector rules into the private sector; no doubt there will be a big opposition, with the livelihoods of tens of thousands of workers at risk.

Stamp Duty Reform

?By far the biggest announcement, Stamp Duty as been abolished for first-time buyers when buying a property under ￡300,000. For properties up to ￡500,000, no stamp duty will be paid on the first ￡300,000.

The effect of this will mostly be felt in the South East, with an average London saving of ￡5000.

Income Tax / NLW

From April 2018, the income tax personal allowance will be raised to ￡11,850 while the higher rate threshold will rise to ￡46,350.The National Living Wage will rise again, to ￡7.83 (A 33 pence rise)

The personal allowance will save all UK tax payers ￡70.00

NHS

The chancellor pledged to give an extra ￡2.8 Billion towards NHS costs over the next 3 years.

Millenial Railcard / Travel

A new railcard for people aged 26-30 will be launched next year, offering a third off most train fairs. The scheme should b rolled out throughout the country early next year.