Could it be described as a Black Friday Autumn Statement?

Posted on 22nd November 2023 by Streets -  What's trending?

Image to represent Could it be described as a Black Friday Autumn Statement?

As our seventh Chancellor since 2016 stood up to deliver his Autumn Statement, perhaps the good news was that in contrast to his immediate predecessor, he had run his figures by the Office for Budget Responsibility. Therefore, we hopefully will not experience an aftershock.

In the media coverage on the run up to his speech there was much speculation as to what the Statement might include, from reductions in business and income tax to changes in inheritance tax.  Over recent days it has felt that at times they were testing the acceptance of any proposed changes, especially with the electorate, as we are now probably only 12 months away from a General Election.

However, it did feel a bit akin to a Black Friday sale, with some 110 measures and announcements to underpin growth, make work pay and increase work/UK productivity.  Overall a move to hopefully revert the governments fortune, curtailing the growing shift in support for Labour and perhaps a red wall landslide next year.  Whether it will achieve this we will have to wait and see.

Whilst as ever the devil is in the detail and it will certainly take time to get through the 110 measures, the key announcements and changes were as follows:

  • The headline grabbing reduction in Employee National Insurance from 12% to 10% - this cut will come into effect from 6th January 2024
  • For the self-employed Class 2 NIC will be abolished with Class 4 NIC to be cut from 9% to 8%
  • Business Rates will continue to be frozen for small businesses and the 75% discount on business rates for retail, hospitality and leisure will be extended for a further year
  • The National Living Wage will increase to £11.44 per hour from April 2024
  • State pension payments are to rise by 8.5% to £221.20 a week, worth almost an extra £900 a year. The triple lock will be "honoured in full"

With business investment in the UK falling behind other OECD countries and with the need to improve productivity to underpin economic growth the announcement that ‘full expensing for businesses is to be made permanent’ must be good news. This will mean that for every £1 a business invests in IT, machinery and equipment they can claim back 25p in Corporation Tax.

The Chancellor also announced further changes to Research and Development Tax reliefs aimed at supporting and driving innovation especially in the fields of life science, technology, advanced manufacturing, net zero and digital innovation.

A number of our firm’s office locations are set to see a change in their political and governance landscape, with devolution deals announced for Hull and Yorkshire and the counties forming Greater Lincolnshire.

Further afield and including locations from across our practice there was news of the creation of further investment zones and that Freeports and investment zones will be given 10 years of "financial incentives", rather than five as currently planned.

There will also be a further three investment zones in the West Midlands, East Midlands and in Greater Manchester.

And finally, whether you are looking to partake in a glass of wine, beer or whatever your tipple to celebrate or otherwise, you will be pleased to hear the duty on alcohol will be frozen until August 2024.

For the devil in the detail there is still time to book for Streets Chartered Accountants post Autumn Statement webinar which takes place from 11am until 12noon on Thursday 23rd November.

Register to join us live and/or to receive a post broadcast recording to watch on catch up.


No Advice

The content produced and presented by Streets is for general guidance and informational purposes only. It should not be construed as legal, tax, investment, financial or other advice. Furthermore, it should not be considered a recommendation or an offer to sell, or a solicitation of any offer to buy any securities or other form of financial asset. The information provided by Streets is of a general nature and is not specific for any individual or entity. Appropriate and tailored advice or independent research should be obtained before making any such decisions. Streets does not accept any liability for any loss or damage which is incurred from you acting or not acting as a result of obtaining Streets' visual or audible content.


The content used by Streets has been obtained from or is based on sources that we believe to be accurate and reliable. Although reasonable care has been taken in gathering the necessary information, we cannot guarantee the accuracy or completeness of any information we publish and we accept no liability for any errors or omissions in material. You should always seek specific advice prior to making any investment, legal or tax decisions.

Expert insight and news straight
to your inbox

Related Articles

Budget 2024: Changes to the Non-Dom Regime and their Implications

In the wake of the Budget 2024 announcements, significant changes to the UK's non-domiciled individual (non-dom) regime are on the horizon, with scheduled implementation for 6 April 2025. However, uncertainties loom, especially considering the potential shift in political power after the next General Election. While the outlined reforms ...

How do you avoid financial forecasting that ends up with rain instead of sunshine?

Financial forecasting can often feel like the weather forecast, financial predictions not always being as rosy as planned, or in many cases, as hoped - a bit like the weather whilst sunshine is predicted rain all too often can be the outcome.  Whilst many businesses will look to ...

Working Capital Cycle

The longer the working capital cycle, the more time it takes for your business to get a robust cash flow. It’s good practice for businesses to manage their cycle by looking at each step where possible. This could be by selling stock or product quicker, collecting monies owed ...

You might also be interested in...