Chancellor’s Economic Briefing Update

Chancellor's Economic Briefing Update | CFO360 Accountants

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  1. Introduction
  2. Income Taxes & Allowances
  3. National Insurance Contributions Thresholds And Rates
  4. Corporation Tax
  5. Other


On 17 October 2022, the Chancellor Jeremy Hunt, delivered a briefing on the update of the Mini Budget that was delivered on 23rd September 2022. We’ve made a summary of the key measures impacting small, limited companies and individuals.

Income Taxes And Allowances

  • The Basic rate of income cut to 19% that was scheduled to come into effect from April 2023 has been scrapped. The Basic rate of income tax will remain at 20%
  • The 45% higher rate tax rate will remain in place
  • There will be a reversal of the dividend tax cuts from April 2023
    • The basic rate dividend tax will remain at 8.75%
    • The higher rate dividend tax will remain at 33.75%
    • The Additional rate dividend tax will remain at 39.35%

National Insurance Contributions Thresholds And Rates

  • The changes in National insurance as stated below remain
    • The rise in National Insurance Contributions (NICs) rate of 1.25% which was introduced on 6 April 2022 will be reversed from 6 November 2022.
    • Adjustment to the NICs rate will be made via employer’s payrolls.
      • From 6 November 2022, the previous 2021-22 NICs rates of 12% and 2% will apply, with an employer’s rate of 13.8%.
    • There are no changes to the increased NICs thresholds, introduced in July 2022.

Corporation Tax

  • The planned increase in corporation tax from April 2023 will go ahead.
  • This means the rate of Corporation Tax will increase from 19% to 25% from April 2023 for firms making more than £250,000 profit.


  • The cuts in Stamp Duty land tax will remain.
    • The limit is raised to £250,000 or £425,000 for first-time buyers.
    • First-time buyers will also be able to claim tax relief on the first £625,000 of their new homes.
  • The Energy Price Guarantee will run from October 2022 – April 2023.
  • The planned duty rates increase on beer, wine and spirits will go ahead as previously communicated
  • VAT-free shopping for overseas visitors due to be implemented in April 2023 will be scrapped.
  • Capital allowances Annual investment allowance will remain at £1million.
  • There will be an increase in limits for the Seed Enterprise Investment Scheme (SEIS) from April 2023
    • Companies will be able to raise up to £250,000 of SEIS investment. The current limit is £150,000
    • The gross asset limit will be increased from £200,000 to £350,000 and the trading time limit from two to three years
    • The individual annual investor limit of £100,000 will be doubled to £200,000
  • IR35 reforms that were due to be scrapped in April 2023 will now remain
    • This means that employers will remain responsible for ensuring that agency workers who provide their services through a company pay appropriate levels of tax.

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