Jeremy Hunt has reversed the tax cuts put forward by former Chancellor Kwasi Kwarteng in the mini-Budget just over a few weeks ago.
The following are the most impactful changes:
- Energy price guarantee 'for all' now only until April next year, after which there will be a re-assessment.
- 19 percent basic rate tax cut is axed - so basic rate from April next year remains at 20 percent.
- Corporation tax will be rising to 25 percent next April.
- Dividend tax will not be being cut to reflect the removal of the health levy so a 1.25 percent surcharge on old rates remains.
- Alcohol duty will not be frozen.
- IR35 reform repeal is not going ahead.
- Top rate of tax re-instated.
Here is a quick calculator comparing today to what Hunt's plans could be for tax starting from the coming April:
