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Writer's pictureSally Charlesworth

My take on the Autumn Statement Headlines



With 110 measures announced I will not be listing them all - but have put below the ones I feel will affect my clients (and me) the most.


Businesses


  • Freezing the multiplier for small rates business tax

    • This should help keep fixed costs low

  • Making permanent the full expensing of investments

    • This will help the larger businesses

  • Businesses in the supply chain with public sector clients will be guaranteed a maximum payment term of 30 days

    • This will be a huge help cashflow wise

  • Increase in minimum (national living) wage to £11.44 per hour for staff aged 21 years and over from April 2024

    • A huge help for the lowest paid workers, but a significant impact on small businesses to fund this (and the knock on increase in pension contributions etc)


Self-Employed


  • The abolition of class 2 NIC from April 2024

    • a saving of around £200 - details on how the pension credit will be recorded are yet to be confirmed

  • Reduction in Class 4 NIC from 9% to 8% in April 2024

    • a welcome saving


Personal Tax


  • Employee NIC reduced from 12% to 10% on earnings between £12,571 - £50,270 from 6th January 2024

    • A welcome saving for employees, more mid-year changes/calcuations/software updates to run during the busiest time of year for the accountancy profession.....

Other


  • A freeze on alcohol duty until 1/8/2024

  • State pension to increase 8.5% to £11,500 in April 2024

  • Other benefits to rise 6.7% in April 2024

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