What Will the Spring Budget 2024 Mean to You? 

Picture of Written by: Liez Comendador
Written by: Liez Comendador
What Will the Spring Budget 2024

Highlight the text in the article to activate the speech reader function.

Last 6 March 2024, the chancellor announced the details of the latest Spring Budget. Here are how the Budget announcements could affect different aspects of individual taxpayers and businesses’ finances: 

For Workers 

Employee’s NI contributions will decrease by 2p, from 10% to 8% starting in April, following the 2p cut announced in the last Autumn statement. This means that the average worker earning £35,400 a year could see an increase of over £900 in their take-home pay this year. 

Self-employed individuals who benefit from a 2p cut to Class 4 NI, brought down to 6%, will save around £650 compared to last year. These substantial NI cuts may not benefit those who are above state pension age, given that they do not pay NI. 

What Will the Spring Budget 2024

For Investors 

A new British ISA is being introduced, offering a tax-free allowance of £5,000 specifically for investing in UK stocks. This is in addition to the existing £20,000 annual ISA allowance. 

Whilst this new ISA option aims to encourage investment in UK stocks, some argue it may add complexity and not offer significant advantages over existing ISAs. 

For the Tech Sector 

The government announced various measures to support technology and innovation, including increased funding for the NHS productivity plan, investments in tech clusters across the UK, and reforms to the R&D tax credit system to support SMEs. 

These new initiatives aim to encourage investment in high-growth sectors like tech, provide funding for digital adoption and upskilling, and accelerate smart data schemes in energy and transport. 

For Parents 

Changes to the high-income child benefit charge (HICBC) will see the threshold rise to £60,000 from April, with full repayment now required only for incomes over £80,000 by April 2026. This could benefit around 485,000 families, with an average gain of £1,260. 

For Landlords 

The government plans to scrap the furnished holiday lettings regime from April 2025, potentially impacting landlords who rely on this for tax benefits. This move aims to address housing issues in popular holiday destinations but has faced criticism from landlords who fear financial losses. 

For Homebuyers 

Despite calls for stamp duty reform, no significant changes were announced. However, the Office for Budget Responsibility predicts a slight decrease in house prices followed by a rebound in 2026, with mortgage rates expected to rise. 

Stay updated with tax news in the UK here at Legend Financial. You can also reach us for your taxation, accountancy, business development, and financial advisory needs. Talk to one of our experts today! 

References

What the Spring Budget really means for your wallet. 6 March 2024. Retrieved from The Week: https://theweek.com/personal-finance/what-the-spring-budget-really-means-for-your-wallet 

The Spring Budget 2024 – what was in it and what does it mean for the tech sector? 6 March 2024. Retrieved from Tech UK: https://www.techuk.org/resource/the-spring-budget-2024-what-was-in-it-and-what-does-it-mean-for-the-tech-sector.html 

What does the Spring Budget 2024 mean for me? 6 March 2024. Retrieved from CAP: https://capuk.org/news-and-blog/what-does-the-spring-budget-2024-mean-for-me# 

Author

  • Junaid Usman

    Apart from being a partner at Legend Financial, Junaid is an expert on Business Tax including business management advisory services which has proven in the growth of company. He is a promising advisor with an ideology; "Any business success depends on the level of objectivity it maintains."

Reviewed by:

Leave a Comment

Your email address will not be published. Required fields are marked *

Similar Articles

Our Experts

Picture of Fahad Lateef
Fahad Lateef

Fahad is a Chartered Certified Accountant (ACCA), with a motto “When “why” is clear, “how” is easier”. He is proficient in numeracy and impassioned with giving concise advice to a wide range of clients.

Picture of Junaid Usman
Junaid Usman

Junaid has been instrumental in the achievement of our success across various regions and he specialises in business management, accounting and tax advisory services.

Picture of Faizan Rashid
Faizan Rashid

Faizan is good at providing well-thought-out strategies and solutions to complex problems in Business Development which makes him a proficient overseer of our clients.

The quickest way from A to B is usually a conversation. So, if you want to find out more about how Legend Financial can boost your business, get in touch. We’ll give straight answers so you can make a confident decision, fast.

Most Popular

LET’S DO BUSINESS

The quickest way from A to B is usually a conversation. So, if you want to find out more about how Legend Financial can boost your business, get in touch. We’ll give straight answers so you can make a confident decision, fast.

LET’S DO BUSINESS

Scroll to Top