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How will the 2016 Budget affect you?

Published on Wednesday 16 March 2016 in Van News

How will the 2016 Budget affect you?

Chancellor George Osborne pledged to save small business drivers £270 a year after fuel duty was frozen for the sixth year in a row. He delivered his 2016 Budget in the House of Commons and the key points from his speech are below:

  • Growth of 2% forecast for 2016. Down from 2.4% in November's Autumn Statement
  • A million jobs forecast to be created by 2020
  • Inflation of 0.7% forecast for 2016
  • Headline rate of corporation tax to fall from 20% to 17% by 2020
  • Annual threshold for small business tax relief to be raised from £6,000 to £15,000
  • Supplementary charge for oil and gas producers to be halved from 20% to 10%

Fuel, roads, trains & tolls

  • Fuel duty frozen for the sixth year running
  • New rail lines including Crossrail 2 in London and the HS3 link between Manchester and Leeds get green light
  • £230m earmarked for road improvements in the north of England
  • Tolls on Severn River crossings halved by 2018

Raising funds & closing corporate tax loopholes

  • Anti-tax avoidance and evasion measures to raise £12bn by 2020
  • £9bn to be raised by closing corporate tax loopholes and tax minimisation schemes
  • Use of "personal service companies" by public sector employees to reduce tax liabilities to end
  • Cutting capital gains tax from 18% to just 10% for basic rate tax payers
  • £700 million for flood defence schemes
  • Commercial stamp duty 0% rate on purchases up to £150,000, 2% on next £100,000 and 5% top rate above £250,000. New 2% rate for high-value leases with net present value above £5m.

Are you happy with the budget? What would you liked to have seen increased or cut? Please let us know below