Work and investment
• IR35 rules – the rules which govern off-payroll working – to be simplified
• Annual investment allowance, the amount companies can invest tax free, remains at
£1m indefinitely
• Regulations change so pensions funds can increase UK investments
• New and start-up companies able to raise up to £250,000 under scheme giving tax
relief to investors
• Share options for employees doubled from £30,000 to £60,000
Stamp duty
• Cut to stamp duty which is paid when people buy a property in England and Northern
Ireland
• No stamp duty on first £250,000 and for first time buyers that rises to £425,000 –
comes into operation today
• 200,000 more people will be taken out of paying stamp duty altogether, government
claims
Energy (see appendix)
• Freeze on energy bills, which the government claims will reduce inflation by 5
percentage points
• Total cost for the energy package expected to be around £60bn for the six months
from October
Bankers’ bonuses
• Rules which limit bankers’ bonuses scrapped
• Package of regulatory reforms to be set out later in the autumn
Shopping
• VAT-free shopping for overseas visitors
• Planned increases in the duties on beer, for cider, for wine, and for spirits cancelled
Infrastructure and investment zones
• Government discussing setting up investment zones with 38 local areas in England
• Tax cuts and liberalised planning rules to be offered to release land for housing and
commercial use
• Investment zones offered measures such as no business rates and stamp duty waived
• New legislation to cut planning rules, get rid of EU regulations and environmental
assessments in an effort to speed up building
Appendix – Energy
What is the energy plan for households?
The measures to help households include:
• a typical household’s energy bill will rise to £2,500 a year from 1 October (from
£1,971)
• the “energy price guarantee” will last two years
• this is not a limit on how much you will pay – your bill depends on how much energy
you actually use
• before the announcement, typical household bills had been due to rise to £3,549 a year
• the plan applies to all households in England, Scotland and Wales; the “same level of
support” will be available in Northern Ireland
• the one-off £400 fuel bill discount payments for households will go ahead
• anyone who doesn’t use mains gas and electricity – such as those using heating oil –
will receive an extra £100 on top of the £400 discount.
How will the energy price guarantee work?
The energy price guarantee replaces the existing energy price cap, which sets the highest
amount suppliers are allowed to charge domestic households for every unit of energy they
use.
These energy units are the kilowatt hours (kWh) shown on bills.
From 1 October, dual-fuel customers on a standard variable tariff will pay:
• 34p per kWh of electricity
• 10.3p per kWh of gas
On this basis, a typical household can expect to pay about £2,500 a year.
But most households aren’t actually typical. Many factors – like the number of people in a
house, the type of property it is, and how much heating and power they use – all make a
difference.
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