Whilst my colleagues deal with what was in the Spring Statement, let me deal with what wasn’t.
When we were last analysing the Chancellor’s words and documents the main issue was entrepreneurs’ relief (subsequently absorbing many hours of my life). What was noticeable at the time was that the Chancellor warmed us up to more possible changes to ER, and indicated that a no-deal Brexit would likely lead to an emergency budget in the Spring with a hint of a tax rise or two. To that end, ever cautious, we’ve encouraged clients to get deals done as soon as practically possible to secure their ER at 10%.
So here we are. No brexit, no deal, and no idea of what the next two weeks will look like – but no emergency budget and no hint of any changes to ER or CGT more broadly.
However….. as we sit here debating the likely routes through the next three to six months it’s clear that an emergency budget, perhaps with a Labour government, or a coalition with a heavy Labour influence, is potentially not that far away. It probably isn’t going to be within the next three months (unless political developments unfold more rapidly than expected), however is it unreasonable to think that a new Chancellor (with quite different opinions than the incumbent) will be presiding over the Autumn Budget? We suspect this is something that people need to be mindful of – not just in the context of ER, but also other areas where legislative change is possible.
View all our Spring Statement coverage here.