The Budget 2015 – What do we think in Yompville?
We love a budget here in Yompville and when the red briefcase comes out and George Osborne outlines his plan for the economy, we could not help picking out some key points that will affect small businesses (like ours) across the UK.
First of all, we where really pleased to see success celebrated as ‘Big George’ lead with the UK growing faster than any other major advanced economy in the world last year – 2.6% – Happy days!
Also, we where delighted to hear that Britain now has a record employment rate as 1.9% new jobs have been gained, 80% of which are full-time and in skilled occupations.
Great fact too – a job is created every 10 minutes in the Midlands which was surprising and 1,000 are being created every day across the UK.
So onto the tangible bits…
- The minimum wage will be raised to £6.70, reaching over £8 by the end of the decade, and the rate of apprentice pay is the highest on record
- ‘Google’ tax will be brought in at the start of next month, preventing businesses moving profits abroad – We defiantly agree with this as our clients spend a fortune with Google – it gets results but we feel the money Google makes from us should be taxed in the UK.
- Major investment in the Northern Powerhouse – Greater Manchester and Cambridge will keep 100% of increase in local business rates.
- TV and film tax credits are to be made more generous, and there will be support for the video game industry
- 80% of the population now have access to superfast broadband, and broadband vouchers will be extended to all parts of the country so businesses can improve their connectivity
- Corporation tax is to be cut to 20% – Whoop!
- A big one for the Yomp – There will be no NI payments for employing under 21s, getting more young people into work
- Class 2 tax contributions for the self-employed to be abolished. This will help 5 million self-employed!
- Traditional tax return to be abolished – it will all be done digitally, making things easier for small businesses
- Raising the personal tax-free allowance will raise to £10,800 next year, and then to £11,000 the year after = more money in a Yompling’s pockets to spend on the next point…
- Beer duty is to be cut for the third year in the row and cider duty will be cut by 2% – PARTY TIME!
- Personal savings allowance to be introduced which means that we will be able to save £1,000 without having to pay tax
All in all it was a political budget, but a great one for business, in fact i thought the best yet as George ghas far more to play with when the economy and the defacite is going in the right direction.
But you never know, come May all of the above could go out of the window.
It is exciting to see if it does
Thanks for reading.