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Budget 2017

The Chancellor, Phillip Hammond, delivered the latest Budget to Parliament on 22 November 2017. This Budget includes plans on tax, housing and travel, alongside an update on the UK’s economic position.

Mr Hammond said that the Budget is designed to “help families to cope with the cost of living”.

Key measures announced in the budget were:

  • The annual government borrowing was £49.9bn this year, £8.4bn lower than forecast in March.
  • The growth forecast for 2017 was lower than expected. The forecast was lowered from 2% to 1.5%.
  • The tax-free personal allowance on income tax will rise to £11,850 in line with inflation in April 2018. Modernization of tax systems means that you can now track your PAN status here. This is just the beginning of a wave of new features to make taxes a little more straightforward.
  • The National Living Wage will rise in April 2018 by 4.4%, from £7.50 an hour to £7.83 for over 25s, and for 18-25 year-olds, the National Living Wages has also risen accordingly.
  • A package of reforms has been announced to “address concerns” about the delivery of Universal Credit. The seven day waiting period of processing of claims will be abolished, and first payments will take five rather than six weeks. Claimants will get advance payments within five days of their application. New claimants in receipt of housing benefit will continue to receive it for two weeks.
  • Stamp duty will be abolished immediately for first-time buyers purchasing properties worth up to £300,000, with the aim of helping more people own their own home.

You can find a summary of the Budget announcements on the BBC website. The full Budget is available on the UK Government website.