Jeremy Hunt, the new Chancellor, has issued a last-minute emergency statement ahead of the full medium term fiscal plan due on 31 October.
His speech follows his surprise appointment and is an attempt to calm the financial turmoil which followed the mini-budget that never was.
In headline, almost all the tax measures have now been reversed and that the energy price guarantee will only be guaranteed until April 2023;
- The basic rate of income tax will now remain at 20% indefinitely.
- The 45% tax rate will no longer be abolished.
- Corporation tax will now increase from 19% to 25% in April 2023
- The cuts to stamp duty and National Insurance will go ahead
- The cap on energy prices is now only guaranteed until April next year.
Following the additional U-turns announced today, what remains of the mini-budget?
The next step
To discuss how today’s announcement affects the tax position of you or your business, please get in touch with your usual UHY contact.