Budget 2011- Any changes?
So it is that time of the year again, the time everyone dreads as the Chancellor announces his Budget for the forthcoming year, but what effect will this actually have on us?
These are the main changes that the Chancellor has announced this afternoon,
UK ECONOMY
2011 growth forecast downgraded from 2.1% to 1.7%
2012 forecast also down from 2.6% to 2.5%
Inflation set to remain between 4% and 5% in 2011
FUEL, CIGARETTE AND ALCOHOL DUTIES
No further changes to alcohol duty rates
INCOME TAX
No new personal tax increases
Personal tax allowance to rise a further £630 to £8,015 in April 2012
Consultation on long-term plan to merge income tax and National Insurance
50% top rate of tax to remain but review of how much it raises
BORROWING
Forecast borrowing of £146bn this year, £2.5bn lower than anticipated
Borrowing to fall to £122bn next year, dropping to £29bn by 2015-16
National debt forecast to be 60% of national income this year, up to 71% in 2012
OTHER TAXES AND ALLOWANCES
Council tax to be frozen or reduced this year across England
10% discount on inheritance tax for people leaving 10% of estate to charity
Rise in air passenger duty to be frozen this year
Private jet users to pay passenger duty for first time
Levy on so-called "non-doms" up to £50,000 for those resident in the UK for 12 years
Tax avoidance clampdown to raise £1bn this year
Support for families in the south-west of England with water bills
HOUSING
Government-backed shared equity scheme to help 10,000 first-time buyers
HELP FOR BUSINESS
Corporation tax to be cut by 2% in April, not 1% as previously planned
Bank levy to be adjusted so banks do not pay less tax as a result
43 tax reliefs to be scrapped as part of simplification of tax code
£350m of business regulation to be scrapped
No new regulation on firms with fewer than 10 staff for three years
Business rate relief holiday for small firms extended for another year
New rules to require planners to prioritise growth and jobs
£100m funding for science facilities
21 "enterprise zones" to be launched, backed by tax incentives
JOBS AND SKILLS
Funding for 12 further university technical colleges
40,000 new apprenticeships for young people out of work
Funding for 100,000 work experience placements
PENSIONS
Accepts Hutton review of reform of public sector pension contributions
Long-term aim for £140 a week flat-rate state pension - not to apply to current pensioners
TRANSPORT
£100m for repairing potholes in England
£200m support for regional railways in England
GREEN MEASURES
£2bn extra funding for Green Investment Bank - to launch in 2012
So as you can see not much has changed from the emergency budget that was produced last June but this is because the Chancellor doesn't have much room to manovoure in the current economic climate.