Autumn Statement 2022
The Chancellor’s Autumn Statement included the following measures:
The starting point for the top rate of Income Tax of 45% will be reduced from £150,000 to £125,140.
The exempt band for Capital Gains Tax is to be reduced from £12,300 to £6,000 from 6 April 2023, with a further reduction to £3,000 from April 2024.
The nil rate band for dividend income is being reduced from £2,000 to £1,000 from April 2023, with a further reduction to £500 from April 2024.
Personal allowances for Income Tax are to be frozen until April 2028.
The Inheritance Tax nil rate band is being frozen April 2027.
Electric cars will be required to pay road tax (Vehicle Excise Duty) from April 2025.
There is to be a significant reduction in the rate of R&D tax relief available to companies. This follows concern that the system of R&D tax relief has been subject to significant fraudulent claims.
The National Living Wage paid to people aged over 23, is being increased to £10.42 per hour.