Autumn Statement – no big surprises?
Victoria Bishop, Tax Partner at robinson+co, gives her view on the Autumn Statement
As expected, the Chancellor’s Autumn Statement proved to be somewhat depressing listening, especially if you are a public sector worker. The news that their pay, after a two year pay freeze, will increase no more that 1% - and this was announced only a few minutes before Mr Osborne said that benefits would increase by 5.2% next April: a huge difference between the two figures.
But one bright spark of news is that the 3p increase due on fuel prices on 1 January 2012 has been deferred until August 2012; and the additional increase due in August 2013 has been abolished.
Otherwise the statement was much as expected and with no big surprises as a lot of the content had been leaked previously.
As far as robinson+co and Cumbria are concerned there is not a lot to say. As previously explained (see Victoria’s article of 17 August 2011) Cumbria does not have an Enterprise Zone and none of the infrastructure projects announced are in Cumbria.
However worthy of note for individuals and families are:
• State pension age is to go up to 67 in 2026, affecting anyone born after 1959
• State pension to go up by £5.35 in April 2012
• Tax Credit rates have been frozen
And for businesses:
• A review of various Employment Law matters, including the Tribunal process and TUPE
• A £40billion investment in a credit easing programme to underwrite loans to small and medium sized firms
• Holiday for small business rate payers is extended to April 2013; and if you still have to pay business rates the April 2012 can be partly deferred for up to two years.
• Support for energy intensive firms
• Further Research & Development tax reliefs
There is, however, some good news: Victoria’s visits to see her relatives will be less expensive now the toll on the Humber Bridge has been halved!
If you wish to discuss any of the matters raised by the Autumn Statement please do not hesitate to contact Victoria, or any of us at robinson+co, on 01900 603623 or 01946 692423, or victoriabishop@robinsonco.co.uk.
Disclaimer:
• These notes are not a full resumé of the Autumn Statement issued on 29 November 2011
• All care has been taken in preparing this material. However no responsibility can be accepted for any losses arising to any person acting or refraining from acting as a result of this material
• Any comments are those of Victoria Bishop and do not necessarily reflect the views of robinson+co
