Wednesday, 05 December 2012 14:28
Full summary of key announcements in Autumn Statement
Full summary of Autumn Statement announced by George Osborne today including all the figures relating to pensions and tax allowances.
• Cut in pension contribution allowance from £50,000 to £40,000.
• Lifetime allowance decreased from £1.5m to £1.25m.
• Drawdown limit raised from 100 per cent to 120 per cent.
• ISA limit increased to £11,520 and small and medium sized business on AIM to be included in stocks and shares ISAs.
• Personal tax-free allowance increased to £9,440. Mr Osborne said: "This will be a direct boost to those who are working hard to support their families. People working full time on the minimum wage will see their income tax bill cut in half. A personal allowance of £10,000 is within touching distance."
• The threshold for high rate taxpayers will be increased by one per cent to £41,865.
• Large companies corporation tax will be cut by one per cent to 21 per cent in 2014. Mr Osborne said he expected multi-national companies to pay their "fair share" of corporation tax.
• Small companies capital allowance to "increase tenfold" to £250,000.
• Inheritance Tax nil rate band up from £325,000 to £350,00 in 2015-16.
• Growth of -0.1 per cent this year. This was due to over optimism by the OBR regarding net trade and exports which was affected by the Eurozone crisis. Expected growth of 1.2 per cent next year and 2.0 per cent in 2014.
• Government borrowing down from £159bn at the start of the Coalition to £108bn and expected to fall again to £99bn in 2013-14.
• Want to receive a free weekly summary of the best news stories from our website? Just go to home page and submit your name and email address. If you are already logged in you will need to log out to see the e-newsletter sign up. You can then log in again.
• Cut in pension contribution allowance from £50,000 to £40,000.
• Lifetime allowance decreased from £1.5m to £1.25m.
• Drawdown limit raised from 100 per cent to 120 per cent.
• ISA limit increased to £11,520 and small and medium sized business on AIM to be included in stocks and shares ISAs.
• Personal tax-free allowance increased to £9,440. Mr Osborne said: "This will be a direct boost to those who are working hard to support their families. People working full time on the minimum wage will see their income tax bill cut in half. A personal allowance of £10,000 is within touching distance."
• The threshold for high rate taxpayers will be increased by one per cent to £41,865.
• Large companies corporation tax will be cut by one per cent to 21 per cent in 2014. Mr Osborne said he expected multi-national companies to pay their "fair share" of corporation tax.
• Small companies capital allowance to "increase tenfold" to £250,000.
• Inheritance Tax nil rate band up from £325,000 to £350,00 in 2015-16.
• Growth of -0.1 per cent this year. This was due to over optimism by the OBR regarding net trade and exports which was affected by the Eurozone crisis. Expected growth of 1.2 per cent next year and 2.0 per cent in 2014.
• Government borrowing down from £159bn at the start of the Coalition to £108bn and expected to fall again to £99bn in 2013-14.
• Want to receive a free weekly summary of the best news stories from our website? Just go to home page and submit your name and email address. If you are already logged in you will need to log out to see the e-newsletter sign up. You can then log in again.
This page is available to subscribers. Click here to sign in or get access.