The introduction of increased rates of National Insurance Contributions, dividends and Corporation Tax over the next couple of years may give cause for owners and directors of businesses to consider their remuneration package and whether this is still appropriate.
For the tax year 2022/2023 the Government recently announced a 1.25% Health and Social Care Levy charge that will form part of the National Insurance Contributions for employees and employers, and from 2023/2024 a separate deduction for Health and Social Care levy will be introduced.
Businesses facing an increase in their tax bills next year can breathe a sigh of relief now that the Government has pushed back its plan to alter the basis period for one year.
Farmers, politicians and industry experts gathered on November 3 to hear from a line-up of several speakers. They discussed the future of farming and the challenges posed by the Government’s plans for agricultural transition away from EU-based rules and the Basic Payment Scheme, in tandem with the ambitious target to be Net Zero by 2050.
As we come to the end of 2021, which for many of us has felt like one long slog since the first lockdown of 2020, here I provide a quick state of the market review and look forward to what 2022 might bring.
The decision by the Bank of England to hold the base rate at the historically low 0.1% will be a relief for individuals and businesses with variable interest rates on their debt finance. However, with inflation expected to reach 5% next year an increase in the base rate seems inevitable at some point in the near future.
At the height of the pandemic, the Government offered emergency loans up to £50,000 to businesses to cover their running costs at a time when trading was very difficult, if not impossible.