Tax and Income:

National Insurance is cut by 2p in the pound for employees and the self-employed. It is estimated that this will be worth about £450 a year for someone on a £35,000 full-time salary. 

The chancellor confirms non-dom tax status will be “abolished” and replaced by a “modern, simpler and fairer” system from April 2025.

A new “British ISA”, giving investors a £5,000 extra tax-free allowance to “encourage more people to invest in UK assets” is announced.

Full child benefits will be paid to households where the highest-earning parent earns up to £60,000.

Longer repayment periods will be allowed for people on benefits taking out emergency budgeting loans from the government.

The £90 fee to obtain a debt relief order will be scrapped.

The Government fund for people struggling with cost of living pressures is to continue for another six months.

Cigarettes, Vapes and Alcohol

A widely expected plan for a “vaping products levy” is announced - to be paid on imports by manufacturers, specifically on the liquid in vapes. It will be introduced in October 2026. 

A one-off increase in tobacco duty is also announced.

Alcohol duty was due to rise by 3% from August but Hunt said it will be frozen until February 2025, benefiting 38,000 pubs across the UK. The government is “backing the great British pub”, Hunt says.

Transport:
Fuel duty is frozen at its current level for another year, as expected. The levy should rise in line with inflation but this has not happened since 2011.

Air passenger duty, the tax paid on flights, to go up for business class tickets.

He extends the windfall tax on the profits of North Sea oil and gas companies by a year, raising an expected £1.5bn. It was introduced in May 2022 after Russia’s full-scale invasion of Ukraine sent gas prices soaring, feeding through to producers’ profits. It was due to end in March 2028, but will now conclude in 2029.

 

Housing: 

The higher rate of tax paid on profits from selling property is cut from 28% to 24%. 

Stamp duty relief for those buying more than one dwelling is also abolished.

Tax breaks for owners of holiday let properties will be scrapped.

Other Measures: 

The threshold at which small businesses must register to pay VAT raised from £85,000 to £90,000 from April

Tax reliefs for touring and orchestral productions, which had to been due to end in March 2025, are made permanent

£1m is to go on a memorial to honour Muslims who fought for Britain during World War One and Two

A new tax credit is introduced for independent UK films with a budget of less than £15m

It is confirmed the Government will spend £160m on two nuclear sites. The first, on the island of Anglesey or Ynys Môn, is the Wylfa facility in north Wales.