The Chancellor Jeremy Hunt delivered his second Spring Budget yesterday. Newspaper column inches reserved for the anticipated 2p cut to National Insurance were certainly not wasted but space will need to be found for a number of other announcements that will be of interest in the private client sphere.
Of particular note is the scrapping of the non-domiciled tax regime which will take effect from 6 April 2025; the rate of capital gains tax on chargeable gains on residential property will be cut from 28% to 24% from 6 April; the scheduled reduction in the annual allowance from £6,000 to £3,000 will also take effect from 6 April this year; a new “British ISA” was announced which will provide an additional £5,000 tax-free allowance for investments in UK equities; and tax breaks favouring second-home owners letting their properties to holidaymakers rather than long-term tenants have been abolished.
The Chancellor stopped short of making major changes to inheritance and income tax this time but these topics may well resurface come the next Autumn Statement, regardless of which government we have at the time.
Download our usual summary of the Spring Budget and the details behind Mr Hunt’s speech below.
