It’s budget day 2012, and the Chancellor of the Exchequor, George Osborne, has once again brandished his famous red budget box and, in his own words, has delivered a "budget for growth".
Starting off the announcement at 12:32 this afternoon George Osborne stated:
“This Budget rewards work. Britain is going to earn its way in the world.”
“There is no other road to recovery. This Budget supports working families and those looking for work. It unashamedly backs business and is on side of aspiration.”
“A simpler tax system, that is more competitive for business and lifts lowest paid out of tax altogether”
He went on to make the following announcements:
- The 50 top rate of tax will be cut to 45p from April 2013
- Personal income allowances will be raised to £9,205 from April 2013
- Corporation tax will be cut from cut to 24% from April 2012 and by 2014 Corporation tax will drop to 22%
- There will be enhanced capital allowances for businesses setting up in new Scottish enterprise zones – Dundee, Irvine and Nigg. A Welsh enterprise zone is to be created in Deeside.
- The tax system is to be simplified for small businesses with a turnover of less than £77,000
- Britain’s burgeoning video games, animation and high-end television industry will receive a tax relieve incentive
- There are no changes to the current fuel duty regime
- Vehicle Excise Duty (VED) is to continue to rise in line with inflation but will be frozen for road haulier businesses
- And finally the Government is considering enterprise loans so that young people can spark their entrepreneurial spirit and startup their own businesses