Budget snap: Personal allowance, corporation tax, fuel duty

Details

Category: The UK Economy News

Published on Wednesday, 20 March 2013 13:57

Written by Sam Coventry

Small businesses will like this budget says the FSB

John Walker, National Chairman, Federation of Small Businesses, said:

“The budget opens the door for small businesses to grow and create jobs. The Chancellor has pulled out all the stops with a wide ranging package of measures to support small business. FSB says the housing initiative will help reinvigorate the construction sector in which many of our members operate. National Insurance cut goes beyond what we were asking for and we are pleased to see the scrapping of the 3p fuel duty due in September.”

Gerald Smith, partner at FRP Advisory, the restructuring firm welcomed news concerning the Seed Enterprise Scheme in particular: "An extra 1% cut in the headline rate of corporation tax signals that Britain is open for business from overseas companies.

The government has abolished the fuel duty escalator

“We welcome the government’s decision to cancel the planned increase in fuel duty. Household budgets are already being stretched to the limit with the spiralling cost of living.  While the cost of motoring is a constant concern, it will be a relief to millions of motorists that there is some respite against the escalating financial burden of owning and running a car,” says Miranda Schunke at Green Flag.

Personal allowance to be raised to £10,000 from next year, not from 2015 as originally planned.

That means people will be able to earn £10,000 without paying tax. It's a historic achievement, he says.

Corporation tax cut

Gerald Smith, partner at FRP Advisory, the restructuring firm, said “An extra 1% cut in the headline rate of corporation tax signals that Britain is open for business from overseas companies.
 
Lowering corporation tax to encourage overseas investment should over time spur home grown SME growth and encourage extra investment – just what the Midlands needs with its wealth of engineering and manufacturing expertise and other UK regional industrial bases.”

Beer duty escalator scrapped altogether

No comments needed on the pro's of this one - CAMRA will be pleased that their long-runing campaign has finally paid off.