We kept an eager eye on the budget this week, looking for updates from the Chancellor that could help or affect our members and their finances.
For those of you who may have missed the budget on Wednesday, we have collected the key points that may be of interest to you:
- Growth for 2017 was forecast at 2%, up from the originally anticipated 1.4%
- The personal allowance before you start paying income tax will go up to £11,500 this year. For higher earners the threshold will rise from £43,000 to £45,000.
- Self- employed workers currently paying Class 4 National Insurance will see their contributions rise to 10% in April 2018 and again to 11% in April 2019.
- The minimum wage for over-25’s is rising to £7.50 an hour.
- The government’s tax-free Childcare initiative will provide up to £2000 a year in childcare support for each child under the age of 12. There will also be an additional 15 hours of free childcare for 3 and 4 year olds in households where both parents work, bringing the total up to 30 hours a week.
- The tax-free dividend allowance for company directors has been reduced from £5000 to £2000 from April 2018.
Remember to visit the news page of our website throughout the year for further updates from us.