Budget October 2024

While many of the rumours never came true, several significant tax changes were announced, impacting everything from inheritance tax (IHT) to capital gains, and employer National Insurance (NI). Unused pension funds and death benefits will be subject to IHT starting in 2027, adding complexity to estate planning. Income tax thresholds will remain frozen until 2028 but will then rise with inflation. Capital gains tax rates have been increased, with additional relief cuts for investors.

Employers will see NI contributions rise from 2025, although smaller businesses will receive support via an increased Employment Allowance. Non-domicile tax status will be replaced with a new residence-based regime from 2025, affecting offshore income and assets.

Other notable changes include VAT on private school fees, higher stamp duty for additional properties, and tighter tax treatment on furnished holiday lets. These updates underline a push for increased fairness in the tax system, with implications for many individuals and businesses.

We are looking at specific impacts for our clients and we will update and inform at your ongoing suitability and planning meeting (OSAPM) or sooner if required.

If you want to reach out to us to check your situation or the impact on your planning before your OSAPM then please use the contact details below or contact your adviser directly.

01733 314553                 info@brookswealth.co.uk                       www.brookswealth.co.uk