Budget 2015: A Brief Summary of the Key Facts

On 18 March 2015, Chancellor George Osborne revealed his 2015 Budget.  See how it could affect your business and the district below:

Economy

• GDP growth forecast to be 2.5% this year and 2.3% next year and 2.4% in 2017

• National debt at 80.4% of GDP in 2014-15, and forecast to be 80.2% in 2015-16

• Borrowing set to fall from £97.5bn in 2013-14 to £90.2bn in 2014-15, £75.3bn in 2015-6, £39.4bn in 2016-7, £12.8bn in 2017-8 before reaching a £5.2bn surplus in 2018-9

• Inflation projected to fall to 0.2% in 2015

• State spending to fall to the level it was in 2000 by 2019

• Further savings worth £30bn need to be found with £12bn from welfare, £13bn from departmental budgets and £5bn from tackling tax evasion.

Business & Employment

• Minimum wage to rise to £6.70ph from October  and £8ph by end of decade.

• Corporation tax will be cut to 20%

• National insurance will be abolished for employing under 21s and apprenticeships.

• Greater Manchester & Cambridge able to keep 100% of the extra revenue from increased business rates.  This could be considered for other areas.

• Record employment in the UK, with jobless rate to fall to 5.3% this year

• Wifi funding for public libraries

Devolution

• Comprehensive transport strategy will be funded for the north

• WYCA devolution deal

Tax & Duties

• The tax-free personal allowance to rise from £10,600 in 2014-5 to £10,800 in 2015-16 and £11,000 in 2016-17

• The threshold at which people start paying 40p tax to rise by above inflation from £42,385 to £43,300

• Fuel duty increase scheduled for September to be cancelled

• Beer duty to be cut by 1p on a pint. Cider duty to be cut by 2%, and Scotch whisky duty by 2%.