After mulling over The Chancellors autumn statement with our good friends at McBrides we came to the conclusion that it contained a little ‘festive cheer’ without too much to ‘wine about’ but as expected there were no ‘great surprises’. So, in true Christmas spirit we've put together a few of the things on the naughty and nice list...
Chancellors Nice List
- Earlier this year GDP growth forecast was 0.6% this has now more than doubled to 1.4%.
- Unemployment is lower than anticipated at 7.6%. We now have the lowest proportion of workless households for 17 years.
- From 2015 businesses will be exempt from paying the 13.8% Employers National Insurance Contributions over the basic threshold of about £7500 for employees aged between 16 and 21.
- Business rate increases are linked to inflation. They were due to increase by 3.2% but have been capped at 2% and small business rate relief has been extended for a further year.
- There is a £1000 incentive support for retail businesses and a discount on business rates for occupancy of previously empty premises.
Chancellors Naughty List
- Governor of the Bank of England Mark Carney suggests he will consider raising interest rates when unemployment falls to 7% which is now predicted to be 2015.
- Employers National Insurance Contribution savings for employees on minimum wage under the age of 21 could potentially be as little as a few hundred pounds per year.
- There has been a big slap on the wrists for those naughty Limited Liability Partnerships who have been abusing their LLP status for tax planning purposes. Bringing people in as ‘self-employed’ LLP members (when they should in fact be employees) to avoid paying the 13.8% National Employers Insurance will not be tolerated. On 6th April 2014 three new ‘test’ criteria will be introduced to put a stop to this.
Download the full autumn statement here
Download the podcast of Garry Mumford's Autumn Statement Business Hub interview with Nick Paterno here