Summary of UK Government’s tax and spending plans announcement
17 October 2022
Since Kwasi Kwarteng’s ‘Mini-Budget’ at the end of September, the UK markets and economy have been reeling. In a bid to negate the impact, the Government has reversed all but a few tax changes announced at the time. Headline changes are that the scheduled 6% corporation tax rise due from 1 April 2023 will now go ahead and confirmation that removal of the 45p rate of income tax has now been scrapped.In an early attempt to reassure investors and the markets, the new Chancellor, Jeremy Hunt, who has been in post for one working day, brought forward the fiscal announcement yet again, with confirmation that there will be a more detailed plan announced on 31 October with the emphasis on ensuring stability and credibility to help deliver a ‘growth’ focus for the future with the acceptance that this will mean taxes rising and spending being cut. We’ve summarised the key detail of today’s (17 October) statement below.