Philip Hammond has today announced the Autumn Budget 2017. The key points from the Budget include:
- GDP growth forecast over the next few years has been reduced. For 2017 this has reduced from 2% to 1.5%; followed by 1.4%, 1.3% and 1.5% in subsequent years before rising to 1.6% in 2021-22. Productivity growth and business investment also revised down
- £3bn will be put aside over the next two years to prepare the UK for leaving the EU
- An extra £10bn for capital investment in the NHS over this Parliament
- £500m will be provided for investment in 5G and full fibre broadband
- £400m will be provided for infrastructure for electric cars
- £44bn provided to meet a target of building 300,000 new homes a year by the middle of the next decade
- 100% council tax premium to be levied on empty properties
- Stamp Duty is abolished for first time home-buyers purchasing a house upto £300,000
- Diesel cars not meeting air quality standards will be hit by an additional tax from April 2018
- National Living Wage will increase from £7.50 per hour to £7.83 per hour from April 2018
- Personal Allowance will rise from £11,501 to £11,850 from April 2018
- Higher Rate Tax Threshold will increase from £45,001 to £46,350
- VAT Threshold remains at £85,000
- Business rates increases will be linked to CPI inflation index, rather than RPI index. This will happen two years earlier than originally planned.
- Air Passenger Duty is frozen for economy passengers on short haul and long haul flights; in addition duty on wine and beer is frozen, although low quality alcoholic drinks will see an increase in duty; and fuel duty is also frozen
