Lowering VAT threshold would put SMEs at a disadvantage, FSB warns

The Federation of Small Businesses (FSB) has warned that lowering the VAT threshold would ‘drain small businesses of time and money’. The FSB stated that forcing small businesses into the VAT regime ‘would create a real drag on business output’. The warning came as a survey carried out by the FSB found that VAT-registered small [&hellip
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Government delays Tax-Free Childcare scheme for parents of older children

The government has delayed its new Tax-Free Childcare scheme for parents of children aged between seven and 12. Under the initiative, tax relief of up to 20% is available for childcare costs, up to a total of £10,000. The scheme is therefore worth a maximum of £2,000 per child (£4,000 for a disabled child). Children [&hellip
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Paper £10 notes set to be demonetised

The Bank of England (BoE) has announced that paper £10 notes will cease to be legal tender in England and Wales after 1 March 2018. Paper £10 notes will also be demonetised after 1 March 2018 in Scotland. Consumers have until this date to spend their old £10 notes or swap them for new notes, [&hellip
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CBI urges UK businesses to adopt ‘readily available technologies’

In a new report, the Confederation of British Industry (CBI) has urged UK businesses to adopt ‘tried and tested’ technologies in order to help reduce inequality between productivity and pay. The CBI argued that the adoption of technologies by UK firms could add more than £100 billion to the UK economy, and could potentially support [&hellip
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Chancellor urged to remove age-related tax inequalities in Autumn Budget

In a new report, think tank the Resolution Foundation has urged Chancellor Philip Hammond to tackle age-related tax inequalities in the upcoming Autumn Budget. The Resolution Foundation has called for Mr Hammond to unfreeze working-age benefits in 2018 to help raise living standards for young families. It also stated that, rather than adding new age-related [&hellip
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Bank of England survey indicates pay growth set to surge in 2018

A survey carried out by the Bank of England (BoE) has indicated that wage growth is set to accelerate in 2018 as businesses begin to increase wages amid recruitment difficulties. The survey, which polled 700 UK firms, found that many are finding it ‘increasingly difficult’ to recruit new staff members. As a result, pay settlements [&hellip
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FSB responds to government’s decision to delay abolition of Class 2 NICs

The Federation of Small Businesses (FSB) has responded to the government’s decision to delay the abolition of Class 2 national insurance contributions (NICs), branding it ‘regrettable and costly’. Class 2 NICs were set to be abolished in April 2018: however, the NICs Bill will now be introduced in 2018, with the abolition coming into effect [&hellip
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Bank of England raises interest rates for first time in 10 years

The Bank of England (BoE) has raised interest rates from 0.25% to 0.5% – marking the first rate rise in ten years. As a result, many consumers are likely to face higher mortgage interest repayments. Savers and retirees, however, potentially stand to gain from the rise: savings rates are likely to improve. The Monetary Policy [&hellip
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OTS publishes recommendations for simplifying VAT

In a new report, the Office of Tax Simplification (OTS) has outlined a range of measures intended to help simplify VAT. The OTS stated that the tax has become ‘highly complex’, and has ‘not kept pace with changes in society’. As such, in its report, the OTS has recommended 23 measures intended to simplify VAT. [&hellip
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Chancellor ‘may have to abandon deficit target’ in upcoming Budget, IFS states

In a new report, the Institute for Fiscal Studies (IFS) has stated that Chancellor Philip Hammond may be required to abandon his target for eliminating the deficit if he is to increase spending on public services. The government has stated its intention to move public finances into surplus by the mid-2020s, with the Treasury reaffirming [&hellip
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