Chancellor Philip Hammond has presented his Budget to Parliament – here’s a summary of what was announced.
He said: “A future that will be full of change; full of new challenges and above all full of new opportunities.
And in this Budget, we express our resolve to look forwards not backwards.
To embrace that change, to meet those challenges head on and to seize those opportunities for Britain.“
The Chancellor, who made several jokes during his speech, made a jibe at the Prime Minister (and her relentless coughing fit last month).
After taking a drink of water, he said: ‘I did take the precaution of asking my right honourable friend to bring a packet of cough sweets just incase.’
He also addressed the fact that former Scottish Labour Party leader Kezia Dugdale was going into the I’m a Celebrity Get Me Out of Here!
He said: ‘There’ll be plenty of others joining Kezia Dugdale in saying “I’m Labour, get me out of here”.’
Over 32 million people in work – near a record high
The rise in employment over the past year has been driven by full time workers. Unemployment is also at its lowest rate since 1975.
In 2017 growth has remained solid, but slowed slightly at the start of the year. The UK economy is forecast to grow by 1.5% in 2017. It will then grow at a slightly slower rate in the next three years, before picking up in 2021 and 2022.
Inflation is forecast to peak at 3% in the final months of this year, as measured by the Consumer Prices Index (CPI). It will then fall towards the target of 2% over the next year.
£6.3 billion of new funding for the NHS
- £3.5 billion will be invested in upgrading NHS buildings and improving care.
- £2.8 billion will go towards improving the overall A&E performance, including quicker waiting times and treating more patients over the winter period.
- Pledge of extra cash to support any new pay settlement for nurses
A new railcard for those aged 26 to 30
- The government will work with the rail industry on a railcard to be introduced from spring 2018.
300,000 new homes a year
- Help for young people to secure home deposit – abolishing stamp duty for all first-time buyer purchases on houses worth up to £300,000. This is also available on the first £300,000 of the purchase price of properties up to £500,000.
- Wider support over next five years includes £44bn in capital loans and funding guarantees to help build 300,000 net new homes a year on average by the mid-2020s.
- Review ordered to study planning laws and “fix problem” of ‘land-banking’. The Chancellor threatens compulsory purchases if necessary to get projects off the ground.
- A £630m small-sites fund to “unstick” the delivery of 40,000 homes, and a further £2.7bn to more than double the Housing Infrastructure Fund.
Duty on beer, wine, cider and spirits will be frozen
- The cost of a pint of beer or cider will be 1p lower than if duty had risen by inflation. The cost of a typical bottle of wine will be 6p cheaper.
- Cheap, high-strength cider will be subject to a new band of duty.
The National Living Wage and the National Minimum Wage will increase from April 2018
- The National Living Wage for those aged 25 and over will increase to £7.83 per hour from April 2018. Over 2 million people are expected to benefit. For a full-time worker, it would mean a £600 pay rise per year.
- The National Minimum Wage will also increase:
|21 to 24 year olds||18 to 20 year olds||16 and 17 year olds||Apprentices|
|£7.38 per hour||£5.90 per hour||£4.20 per hour||£3.70 per hour|
Abolishing stamp duty land tax (SDLT) on homes under £300,000 for first-time buyers
- 95 per cent of first-time buyers who pay stamp duty will benefit from this change November 22nd.
- First-time buyers of homes worth between £300,000 and £500,000 will not pay stamp duty on the first £300,000. They will pay the normal rates of stamp duty on the price above that. This will save £1,660 on the average first-time buyer property.
- 80% of people buying their first home will pay no stamp duty.
There will be no relief for those buying properties over £500,000.
And, together, build a Britain fit for the future.“