Budget 2013 - Good news for companies, but not until 2014

Mar 20, 2013

 

There was good news for companies in the Chancellor's budget delivered to the House of Commons this afternoon. He announced that Corporation Tax in the UK will be cut to 21% and by a further 1% to 20% in 2015 which would make it the lowest rate of business tax in any major world economy and should make Britain an attractive proposition for overseas investors and lead to growth and increased employment.

A further piece of good news, but not coming into effect until 2014 is a new employment allowance which is aimed at cutting national insurance bills by £2,000 per company and taking almost half a million small companies out of paying employer national insurance completely.

He also mentioned proposals to double the size of the tax free loans employers can offer to employees for items such as annual season ticket purchase, increasing them to £10,000 from next year.