The Chancellor of the Exchequer, Rishi Sunak, has announced that the Government will publish the latest UK Budget on Wednesday 3 March 2021.
The Spring Budget will set out the next set of financial measures for individuals and businesses as the UK transitions through the next phase of this pandemic and on towards the road of recovery.
Budget 2021 will be dominated by two topics:
This Budget will be seen as a key marker on the roadmap for the year ahead, and with the cancellation of the last Budget in November, plus the fact this is the UK’s first Budget as an independent country for over 40 years, everyone will be keen to hear what initiatives Rishi will announce to help recoup the financial outlays for the various Government COVID-19 support schemes.
It is a fine balancing act that he will have to get right, and we will be there at every point to give you key advice and our expert views as the Budget is announced.
Tony Medcalf, tax partner at MHA Moore and Smalley, looks ahead to the budget and the measures the Chancellor could put in place to support business recovery.
Our experts give their views on what could be expected from the Spring Budget, and the potential impact on rebuilding the economy in a post-Covid and post-Brexit environment.
Coming soon: Hear the latest views from our experts on topics such as corporation tax, travel and tourism, furlough, VAT and business support packages.
Whilst online shopping has been a lifeline for some (and is undoubtedly a great convenience for all), those primarily rooted in bricks and mortar are disadvantaged and, remember, will become a destination in their own right when the lockdown strings are loosened! Added to the flow of people and income away from town centres, it would be a positive step towards business and social reinvigoration, perhaps even a catalyst towards a longer term multiplier effect?
Mr Johnson’s government has long since promised a fundamental review and reform of the system, as included in their 2019 manifesto. Whilst an obvious target, additional taxation of online retailers would provide the funds for the Chancellor to effectively reform Business Rates, without having to source cost savings from other areas in a tight spot. Equipped with this arsenal, a prime barrier to innovative reform is removed or, more realistically, a welcome first step towards remediation can be seized.
Together with added clarity and certainty over short term reliefs throughout the next twelve months, this would provide both small businesses and those rooted in property with some cheer amidst this icy environment.