The Chancellor of the Exchequer Rishi Sunak delivered his Budget Statement to Parliament on March 3rd 2021. Several key areas of change could affect your financial situation.
This years Budget was focused on protecting the jobs and livelihoods of the British people during the Coronavirus pandemic.
The key points for families and individuals are as follows:
- £1.65bn boost to the UK's vaccine rollout as the government plans to offer all adults their first dose by 31 July. As part of that, £33m more will be invested in vaccine testing and development to protect against future outbreaks and variants
- The furlough scheme will be extended until the end of September, with the government paying 80% of salary - though employers will be asked to put in 10% from July and 20% from August
- Help for the self-employed will also be extended with changes meaning 600,000 more people will be eligible to claim from the Self Employment Income Support scheme
- The temporary increase of £20 a week in universal credit will continue for a further six months
- There will also be a one-off payment of £500 to working tax credit claimants
- A new mortgage guarantee scheme will enable all UK homebuyers secure a mortgage up to £600,000 with a 5% deposit.
- Personal income tax thresholds will be frozen from next year until 2026 - at £12,570 for the basic rate and at £50,270 for the higher rate - dragging more people into paying as their salaries rise in line with inflation
- Thresholds for inheritance tax, pensions lifetime allowance and capital gains tax thresholds are also being frozen
- Planned increases in duties on beer, cider, spirits and wine - as well as fuel - will be cancelled
- Consumers will be able to put their money into a new savings product to support green projects
See how will the budget affect you at this link:
A summary of the key points are available at the following links:
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