Early predictions about what the Chancellor would enact were vague, and often upstaged by the ongoing quarrels over how and when to leave the European Union.
The Autumn Statement is usually a less significant affair than the Chancellor’s Budget. However, this was the first opportunity for Theresa May’s new Chancellor to flex his financial policy muscles and break away from George Osborne’s strategy, so this was not an Autumn Statement to miss.
The main points from the Chancellor’s Autumn Statement included:
- The removal of tax and NIC advantages of most salary sacrifice schemes from April 2017
- The Pensions Money Purchase Annual Allowance (MPAA) to be reduced from £10,000 to £4,000 from April 2017
- Foreign pensions and lump sums of UK residents to be fully taxed as their domestic equivalents
- The tax changes for non-domiciled individuals will proceed as planned from April 2017
- The government has renewed its commitment to reduce the rate of corporation tax to 17% by 2020
- Insurance premium tax will be increased from 10% to 12% from 1 June 2017
- More anti-avoidance and evasion provisions; including a new legal requirement to correct a past failure to pay UK tax on offshore interests within a defined period of time.
If you have any questions about the Autumn Statement, please get in touch.