The budget has produced some “winners” who may be able to strengthen or see less pressure on their finances, as well as “losers” who may feel more of a squeeze on their wallets.
See how people have been affected:
– People with substantial pensions
Wealthy pension savers with large sums will be boosted by an increase in their annual pension allowance – the cap on how much money people can save for their pension in any one tax year while taking advantage of tax relief – from £40,000 to £40,000. 60,000.
And lifetime pension payments will be canceled. It was £1.07m, the tax on savers after exceeding the personal pension threshold.
The move could particularly help people in senior positions, such as those working in the NHS, to stay in their jobs.
– Parents with small children
Chancellor Jeremy Hunt announced the expansion of free childcare for children aged nine months and over.
The plans include providing 30 hours of childcare per week to eligible working parents with children aged nine months in England.
The state will also pay parents’ childcare costs under Universal Credit, removing a key barrier to people on benefits moving into work rather than early or working longer hours.
Funding for nurseries will be increased for the existing free hours offer and schools and local authorities will be funded to increase the provision of childcare, so parents of school-age children can drop off their children between 8am and 6pm.
– Energy payers
The Treasury has withdrawn plans to reduce energy support for households from April 1, easing some of the extra pressure on households from higher bills.
The support scheme capped a typical household’s energy bill at £2,500 from October, but this was due to rise to £3,000 in April. The scheme will now be extended for a further three months at a cost of £2,500.
However, bill payers will have to fork out an extra £67 a month to pay their energy bills from April when the Energy Bill Support scheme arrives, which has seen households receive payments of £66 or £67 on their energy bills every six months. until the end.
In the next sign of easing pressure, lower wholesale gas prices from July are expected to provide further relief to consumers. Until that happens, Wednesday’s announcement will help close the gap.
– Car drivers
A planned 11 percent increase in fuel duty will be scrapped, while last year’s 5 percent cut will be scrapped. The government said it would save the average driver a further £100 on top of the £100 saved since last year’s cuts.
Funding for pothole repairs in England to rise by £200m. The Government’s pothole fund will be increased to £700m in the 2023/24 financial year.
– Pubs and their customers
From August, duty on the average draft pint of beer served in pubs will not increase and will be up to 11p lower than supermarket duty. A pub pint duty lower than the supermarket has been called a ‘Brexit pub guarantee’ by the government.
– recreation centers
Around £63m will help leisure centers with swimming pools to reduce energy costs and become more efficient.
– Applicants for some benefits
As part of efforts to encourage people into the workplace, there will be increased sanctions for applicants who do not look for work or do not get a job.
Budget documents say the Government is strengthening the way it applies the sanctions regime, including providing tools and training for job coaches to more effectively implement sanctions, including those unable to get a job.
Annual subscription limits for tax-free Isas will remain at £20,000 at a time when rising inflation is eroding the real value of people’s savings.
The chancellor has defied demands from Conservative MPs, including Boris Johnson, to halt April’s rise in corporation tax from 19% to 25%.
However, it has promised a generous package of benefits to help firms reduce their bills.
The new “full costing” policy means that every pound a company invests in IT equipment, plant or machinery can be fully and immediately deducted from taxable profits.
– Some landlords and tenants
Some commentators have called for more action to support housing and rental markets.
Nick Leaming, chairman of Jackson-Stops Estate Agents, said: “Measures such as offering tax breaks to upsizers – or indeed the right people – to find a home to suit their changing lifestyles will free up much-needed housing stock in the centre. and the top end of the market and is likely to be well-received among older homeowners who are most affected by high energy costs.”
Polly Neate, chief executive of Shelter, said: “The Chancellor could have stopped homelessness but instead he stuck his head in the sand.”
He added: “Once again we have a Budget that does nothing to help landlords who are drowning in debt and whose rents are rising rapidly.”