Budget 2010

The budget which was presented by George Osbourne yesterday was ‘tough but fair’. Or was it? How will it affect you as an individual or as a business?

The key points are; VAT is rising to 20%  from 04/01/2011, Capital Gains Tax is increasing for higher rate tax payers to 28%, child benefit payments are to be frozen for the next 3 years, a two year pay freeze will apply for public sector workers however those earning less than £21,000 will have a flat rate pay increase of £250 annually, from April the basic state pension will be once again linked to earnings, the personal income tax allowance will be increasing by £1000 in April 2011 and no new tax increases on alcohol, tobacco or fuel.

Wren Accountancy Services ltd have produced a post election report which goes into more detail and is certainly worth a read to see what this budget means to you.

You can also find a thorough report produced by the Telegraph in the finance section or on the BBC website to name just a couple.