IN FOCUS6-8 min read

Autumn Statement 2023

23/11/2023
Benchmark customer focused
Read full reportAutumn Statement - November 2023
10 pages

The Autumn Statement had been initially trailed as focusing on the longer term issues facing the country, but Mr Hunt decided to prioritise short-term tax cuts over maintaining future expenditure. The most headline-grabbing immediate moves were cuts to national insurance and placing the expensing of corporate investment onto a permanent basis.

Some of the rumoured changes, such as inheritance tax reform, did not appear, but there is still a chance – the Spring Budget is due to take place in March next year.

Some of the key announcements included:

  • A cut in the main rate of class 1 employee NICs from 12% to 10% taking effect from as soon as 6 January 2024. There will be a reduction in the main rate of class 4 self-employed NICs from 9% to 8% from 6 April 2024 when class 2 NICs will be abolished.
  • Making permanent the full expensing of investments by companies in qualifying plant and machinery so it will continue after April 2026.
  • The continued freeze of the main income tax allowances and thresholds, the main national insurance contributions thresholds and the inheritance tax nil rate bands for 2024/25.
  • A full triple lock increase of 8.5% for 2024/25 for state pensions and pension credit. But universal credit and most other benefits will increase by just 6.7% in line with CPI inflation to September 2023.
  • Freedom for investors to make multiple subscriptions to ISAs of the same type each year from April 2024. Partial transfers of ISAs between providers will also be permitted.
  • A 9.8% increase in the national living wage to £11.44 an hour.

As ever the Budget documentation contained a wealth of detail and much to digest, our Statement Summary highlights the key aspects likely to affect you. If you have any questions about what you should do next, please get in touch.

Read full reportAutumn Statement - November 2023
10 pages

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Benchmark Financial Planning is an Appointed Representative of Best Practice IFA Group Limited which is authorised and regulated by the Financial Conduct Authority, the registration number is 223112. Registered office: Broadlands Business Campus, Langhurst Wood Road, Horsham, West Sussex, RH12 4QP. Registered in England and Wales No 07572431.

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