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Pre-Budget 2009. If it counts, it's covered.

Budget 2010

The government has confirmed that the Budget will take place on 24 March at 12.30. Watch this space for Deloitte's expert views and commentary on the announcements as they happen.

Pre-Budget 2009

 

Article  Summaries of measures

   Download Deloitte's full commentary (PDF, 404 KB)

The Chancellor delivered his Pre-Budget Report on Wednesday 9 December. Business will welcome some PBR measures - the new patent box, whereby income from new patents granted from 2013 will be taxed at 10% and the announcement of consultation on a foreign branch exemption.

The extra ½% hike in national insurance rates for employers, employees and the self-employed from 2011 will not be appreciated. This - combined with the 2008 announcement - will mean a 1% charge, raising about £7 billion in 2011-12 and subsequently.

Individuals will see tax allowances and thresholds frozen at 2009-10 levels - so no pay boost in April 2010. National insurance rates and thresholds are also unchanged. The state pension will rise by 2.5% from April 2010 - meeting the guarantee to increase pensions by the lower of RPI and 2.5%. Other benefits and credits will rise by 1.5%.

The much-heralded bank bonus tax applies to bonuses over £25,000 payable from today to 5 April 2010. It covers individuals engaged in banking business (including building societies) and will be charged at a 50% rate. Taking account of the levy, national insurance and income tax, bonuses will bear an effective 68% tax. It supports the G20 measures on bank pay to defer bonuses.

Finally, the Chancellor confirmed that VAT will go back to 17.5% from 1 January 2010.


Follow our Twitter profile UKBudget as Bill Dodwell, Deloitte Tax partner, gives up to the minute views on the 2009 Pre-Budget.

Read the views of our experts on Alistair Darling's announcements in the Pre-Budget Report


PBR measures