The Budget in full can be accessed here

Summary:

Coronavirus support

  • Total Covid support package this year and next is £352bn
  • Furlough to be extended until the end of September with no change in terms for employees
  • Government to continue paying 80% of employees’ wages for hours they cannot work
  • Employers to be asked to contribute 10% in July and 20% in August and September
  • Support for self-employed to continue until September; 600,000 more self-employed people will be eligible for help as access to grants is widened
  • Investment in UK businesses through restart grants, government-backed UK-wide recovery load scheme and UK-wide future fund: breakthrough scheme
  • £20 uplift in Universal Credit to be extended for another six months
  • Minimum wage to increase to £8.91 an hour from April.
  • Extra £1.6b to continue rollout of Covid vaccinations

State of the economy and public finances

  • UK economy forecast to return to pre-Covid levels by middle of 2022
  • Annual growth set to rebound by 4% this year, followed by 7.3% growth in 2022
  • Unemployment expected to peak at 6.5% next year, lower than 11.9% previously predicted
  • UK to borrow a peacetime record of £355bn this year.
  • Borrowing to total £234bn in 2021-22
  • Debt as a share of GDP to fall from 4.5% next year to 3.5% in 2022-23

Taxation

  • No changes to rates of income tax, national insurance or VAT
  • Personal income tax allowance to be frozen at £12,570 from 2022 to 2026
  • Higher rate income tax threshold to be frozen at £50,270 from 2022 to 2026
  • Corporation tax on company profits to rise from 19% to 25% in April 2023
  • Rate to be kept at 19% for about 1.5 million smaller companies
  • Alcohol and fuel duties to be frozen

Health and education

  • £19m for domestic violence programmes, funding network of respite rooms
  • £40m of funding for Thalidomide victims and lifetime support guarantee

The arts and sport

  • £400m to help arts venues in England, including museums and galleries, re-open
  • £300m recovery package for professional sport and £25m for grassroots football
  • Apprenticeships for creative industries

Business, digital and science

  • Incentive grants for apprenticeships to rise to £3,000 and £126 for traineeships
  • VAT cut for hospitality firms to be maintained at 5% until September; with interim discounted rate thereafter
  • Interim 12.5% rate to apply for the following six months
  • Business rates holiday for firms in England will continue from April until June
  • £5bn in re-opening grants for non-essential businesses of up to £6,000 per premises.
  • Help to grow for small businesses – digital skills and software support – Government to provide 90% of cost

Housing

  • Stamp duty holiday on properties up to £500,000 continues until the end of June. It will be kept at double its standard level until the end of September, and then return to usual levels from 1 October.
  • New policy for first-time homebuyers – 5% deposit scheme
  • Government to offer lenders guarantee to provide 95% mortgages

Sustainability

  • Government commitment to green growth and industries with UK infrastructure bank based in Leeds
  • Green projects to be supported through green recovery bond
  • Funding for new port infrastructure to aid offshore wind
  • Additional £2.4 billion for the devolved administrations in Scotland, Wales & Northern Ireland through the Barnett formula, and measures to grow a greener, more sustainable future

Additional

  • The chancellor confirms the Treasury will establish an economic campus in Darlington, alongside the business, international trade, and housing and communities departments among others.
  • Sunak announces more than £1bn funding for 45 new “town deals” across the UK.
  • Freeports – special economic zones with different rules to make it easier and cheaper to do business – will be launched. They will include infrastructure planning, customs and favourable duties and taxes.
  • Sunak announces eight locations in England: East Midlands airport, Felixstowe and Harwich, Humber, Liverpool city region, Plymouth, Solent, Thames and Teesside.
  • £19m pledged for programmes related to domestic abuse
  • £10m to support veterans with mental health needs
  • £40m new funding for thalidomide victims and lifetime support guarantee
  • Visa reforms for highly-skilled immigrants

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