Press releases: Impressive opening salvo to secure recovery A grand day out: Deloitte comments on VAT cut in hospitality and tourism sector This will boost the support available to victims of rape and create a new digital hub to make the criminal justice process in England and Wales easier to understand. Unless stated otherwise, the decisions set out are ones which are announced at the Budget. This will develop capabilities in response to threats facing the UK, including funding for cutting-edge technology in aviation and space propulsion. The government will also introduce the Natural Environment Impact Fund to help prepare green projects that could be suitable for commercial investment in order to encourage private sector support for environmental restoration. Tax treatment of social security benefits in Scotland – The government will legislate in Finance Bill 2020 to clarify the income tax treatment of three new social security payments. SUMMER 2020 STATEMENT T he Chancellor of the Exchequer, Rishi Sunak, delivered his emergency ‘Mini-Budget’ Summer 2020 … Midlands Rail Hub – The government is investing £20 million to develop the Midlands Rail Hub, progressing plans for a major programme of improvements to rail services between the region’s cities. The government is developing the medium- to long-term priority outcomes that it is seeking to deliver for priorities such as levelling up, as well as the metrics that will be used to measure and improve performance against these outcomes. The holiday will exempt employers from any NICs liability on the veteran’s salary up to the Upper Earnings Limit. This will allow the government to vary import duty where it considers this appropriate, having regard to relevant international agreements and obligations. Students will receive at least £5,000 a year, with up to £3,000 further financial support available for eligible students with childcare responsibilities, as well as those studying in regions and specialisms where Trusts find it difficult to recruit nurses. ↩, 26th Conference of the Parties to the United Nations Framework Convention on Climate Change. The government will do this directly by extending the funding of the British Business Bank’s Start-Up Loans programme to the end of 2021‑22, supporting up to 10,000 further entrepreneurs across the UK to access finance to start a business. 10 The modelling for this measure was corrected after this table was finalised. The COVID-19 outbreak is expected to reduce global growth this year. Youth Violence – The government is providing £5 million in 2020-21 to support the creation of a Centre of Excellence for Tackling Youth Violence. [footnote 26] The Budget provides over £6 billion of further funding to strengthen the NHS in England and pay for vital services that will improve people’s health, reaffirming the government’s commitment to health and social care. All new spending will be accompanied by a rigorous new focus on outcomes. Conditionality: Hidden economy – The government will legislate in Finance Bill 2020-21 to make the renewal of licenses to drive taxis and private hire vehicles (PHVs, e.g. [footnote 40] The government’s ambition is to support people and families through a fair and sustainable tax system, that rewards hard work, minimises economic distortions and funds first class public services. The current account deficit averaged 4.7% of GDP in the first three quarters of 2019. The government is also publishing a consultation which introduces options on how to promote supply chain due diligence. Meeting these targets will require a combination of spending, regulation and taxes. Increasing housing supply is essential to creating a fairer, more affordable housing market and boosting productivity across the country. The Budget announces a CCS Infrastructure Fund to establish CCS in at least two UK sites, one by the mid-2020s, a second by 2030. This will ensure the amount of tax paid in the UK reflects the value these businesses derive from their interactions with, and the contributions of, an active user base. The Q1 forecasted result for 2020-21 is a deficit of £2,516k, this compares with the original budget for 2020-21 of £2,867k deficit. ↩, ‘Value Added Tax (Finance) Order 2020’, UK Statutory Instruments, March 2020. The changes in the underlying fiscal outlook are due to a combination of the following factors: A downward revision to underlying receipts from 2020-21 onwards that is predominantly driven by downward revisions to growth in GDP and its components. [footnote 67] The Budget is backing UK scientists and businesses to maintain and build on this international leadership. Employment is at a record high and the unemployment rate is the joint-lowest since 1975. As well as taking action that will support people and businesses in every nation of the UK, and targeted support to each nation, it sets out the funding the government will make available through Barnett consequentials for the devolved administrations to fund public services, infrastructure and other priorities. You’ve accepted all cookies. The government understands the maintenance challenges faced by the National Museums and will take further action to address these at the CSR. Economic regulation – The government is committed to maintaining the UK’s system of strong, independent regulation. Chart 2 shows the different sources of government revenue. In addition, the government will consult on the design of a new in‑work entitlement for employees with unpaid caring responsibilities, such as for a family member of dependents. These changes will take effect in England and Wales in April 2022. (63). The Budget sets the rate at £200 per tonne of plastic packaging that contains less than 30% recycled plastic. 1 The debt interest to revenue ratio is defined as public sector net interest paid (gross interest paid less interest received) as a proportion of non-interest receipts. Medical Evidence for SSP – The government has already issued guidance to employers, advising them to use their discretion not to require a GP fit note for COVID-19 related absences. Table 1.1 gives national and regional labour market statistics for the three months to December 2019. The government is now required to reset the welfare cap for the new Parliament. (11). Specialist institutions – The government will invest £80 million to support the UK’s foremost specialist institutions. This deal will provide £1.1 billion of investment for the area over 30 years, as well as devolving significant new decision-making powers on transport, planning and skills. In a domestic outbreak, there could also be direct economic impacts in the UK driven by health-related factors, including how many people are infected and the persistence of any outbreak. Rates will return to planned levels over the following two years, increasing by 1% in 2021-22 and 1% in 2022-23. British Film Commission – The Budget allocates £4.8 million to expand the work of the British Film Commission to promote the UK as a destination of choice for studio space investment. Since its introduction in 2016, the NLW has supported rapid earnings growth for the lowest earners. [footnote 12] The Budget has been delivered within the fiscal rules set out above in section 1.12. The government will keep the level of the rate and threshold under review to ensure that the tax remains effective in increasing the use of recycled plastic. The SDLT relief in England and Northern Ireland will take effect from Autumn Budget 2020 and the UK-wide ATED relief from 1 April 2021 with a refund available for 2020-21. When the review is concluded, HM Treasury will lay before Parliament a new Charter for Budget Responsibility; the Autumn 2016 Charter therefore remains in force at the current time. 2 Many measures have both tax and spend impacts. Commonwealth Games trade and investment programme – The Budget allocates £21.3 million for the Birmingham 2022 Commonwealth Games Trade, Tourism, and Investment Programme to take full advantage of the economic legacy for the West Midlands and the country as a whole from this exciting sporting event. The Budget also announces that the government will provide protection against misleading sales tactics for consumers who are planning for their funeral, ensuring that all pre-paid funeral plan providers are subject to robust regulation by bringing the market within the remit of the FCA. HMRC automation – As announced on 31 October 2019,[footnote 106] the government will legislate to confirm that HMRC may use automated processes to issue taxpayers with notices to file tax returns and penalty notices. Appendix 2 (page 7) Jobseeker's Allowance and its passported Housing Benefit, Northern Ireland social security outside welfare cap, Child Benefit (including Guardian's Allowance), Transfers within government (e.g. Years beyond 2021-22 represent the overall capital envelope, which will be allocated to departments at the Comprehensive Spending Review 2020. A full digital service will be available to employers from April 2022; however, transitional arrangements will be in place in the 2021-22 tax year which will effectively enable employers of veterans to claim this holiday from April 2021. The Budget builds on this by providing £29 million per year by 2023-24 to support primary school PE teaching and help schools make the best use of their sports facilities, as well as £90 million per year to introduce an Arts Premium from September 2021 to help schools provide high-quality arts programmes and extracurricular activities for pupils. Overall Resource DEL spending will increase by 2.8% per year on average in real terms over the CSR period. The UK’s level of productivity is more than 20% lower than other major advanced economies such as the US, France and Germany (Chart 1.4). The July 2020 “Mini Budget”: Highlights & How it Affects You By castlegateadmin | Featured | No Comments. Mini Budget July 2020. The headline policies … ↩, Times Higher Education World University Rankings 2020. has long argued that a change in the law is the only way to protect cash. At the CSR the government will set out funding to meet commitments to replace the Common Agricultural Policy and EU structural funds. The government is committed to ending rough sleeping in this Parliament. In the Budget, the Chancellor reaffirms the symmetric inflation target of 2% for the 12-month increase in the CPI measure of inflation. To meet the net zero target, the UK must also decarbonise industry. [footnote 54] The Budget seeks to build on this progress with £643 million for accommodation and support services to help people off the streets and to start rebuilding their lives. This will protect consumers by ensuring, for the first time, that all pre-paid funeral plan providers are subject to robust regulation. The size of the fund will be reviewed as the situation develops, to ensure all necessary resources are made available. This chapter sets out all Budget 2020 policy decisions. The Chancellor wrote to the OBR ahead of the Budget to ask it to assess the government against these rules, in addition to those set out in the Autumn 2016 Charter. 7 Departments have existing 2020-21 capital budgets. Compared to 2018-19, NHS England will receive a cash increase of £34 billion a year by 2024. Protecting people and keeping them safe from crime and other threats is a principal responsibility of any government. The government is committed to supporting these groups, and the Budget announces further support by making it quicker and easier to receive benefits: ‘New style’ Employment and Support Allowance will be payable for people directly affected by COVID-19 or self-isolating according to government advice for from the first day of sickness, rather than the eighth day, people will be able to claim Universal Credit and access advance payments where they are directly affected by COVID-19 (or self-isolating), without the current requirement to attend a jobcentre, for the duration of the outbreak, the requirements of the minimum income floor in Universal Credit will be temporarily relaxed for those directly affected by COVID-19 or self-isolating according to government advice for duration of the outbreak, ensuring self‑employed claimants will be compensated for losses in income. All content is available under the Open Government Licence v3.0, except where otherwise stated, Government efficiency, transparency and accountability, Annex C: OBR’s economic and fiscal outlook, nationalarchives.gov.uk/doc/open-government-licence/version/3, https://www.gov.uk/government/publications/support-for-those-affected-by-covid-19, Letter from the Chancellor of the Exchequer, Whole of Government Accounts 2017 to 2018, ‘Measuring Intangible Capital in the Public Sector’, Getting smart about intellectual propery and other intangibles in the public sector: Budget 2018, ‘Public Value Framework and supplementary guidance, National funding formula tables for schools and high needs: 2020 to 2021, Schools, pupils and their characteristics, Core spending power: provisional local government finance settlement 2020 to 2021, ‘The economic impact of broadband: evidence from, ‘Flood risk begins to recede but public are warned to be vigilant’, Survey of Personal Incomes (SPI) 2017-18 data, ‘31 million taxpayers to get April tax cut’, ‘Children, young people and digital reading’, Rough sleeping snapshot in England: autumn 2019, ‘Unlocking digital competition, Report of the Digital Competition Expert panel’, ‘Capital Gains Tax Entrepreneur’s Relief: Behaviours and Motivations’, ‘International Comparison of the UK research base, ‘Reducing UK emissions: 2018 Progress Report to Parliament’, ‘Transport Statistics Great Britain 2019’, ‘Economic crime plan 2019 to 2022’, HM Treasury and Home Office, July 2019, ‘Strategic investment and public confidence’, ‘Private Finance Initiative and Private Finance 2 projects: 2018 summary data’, ‘Corporate Capital Loss Restriction: consultation on delivery’, ‘Review of WLTP and vehicle taxes: summary of responses’, ‘Call for evidence: simplification of partial exemption and the Capital Goods Scheme’, ‘Spring Statement 2019: Written Ministerial Statement’, ‘Disguised remuneration: independent loan charge review’, ‘Disguised remuneration: independent loan charge review, ‘HM Revenue and Customs Update: Written Statement – HCWS61’, ‘Call for evidence: the operation of Insurance Premium Tax’, https://www.gov.uk/government/news/loans-sale-to-return-49-billion-to-uk-taxpayers, ‘Letter from Savid Javid, former Chancellor of the Exchequer’, ‘Whole of Government Accounts 2017 to 2018’, Coronavirus (COVID-19): guidance and support, Transparency and freedom of information releases. 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