The Autumn statement- an overview

Today (the 22nd of November), Chancellor Jeremy Hunt unveiled the autumn statement, laying out the government’s financial plans. The Autumn statement explores 110 measures the Chancellor hopes will promote growth in the national economy. Bdaily has put together an overview of the statements key points:

Minimum wage increase

The national living wage is set to rise to £11.44 from April. What separates this minimum wage increase from its predecessors is that it now covers workers from 21 years of age where it was once capped at 23+.

Local housing

Local housing allowance will be unfrozen and is set to increase to the 30th percentile of the local rental market. Mr Hunt said that this increase will provide 1.6 million households with £800 of support on average.

Universal credit

Universal credit is set to rise by 6.7 per cent in line with the inflation rate of September. However tighter welfare rules will also be enforced as welfare recipients will be required to do work experience if they are still looking for a job after 18 months. Welfare recipients who refuse to partake in work experience will have their benefits cut off.

National insurance cuts

National insurance will be cut from by two points as of the 6th of January, cutting the rate from 12 per cent to 10 per cent.

State pension increase

The state pension will rise to 8.5 per cent in 2024 to keep in line with earnings.

Business rates

The chancellor also announced tax breaks for businesses to offset their investments into machinery and equipment against their tax bills. As well as this, small businesses will enjoy business rate relief. The 75 per cent discount will be made available to small businesses in hospitality, retail and leisure sectors.

By Mark Adair – Correspondent, Bdaily

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