An extra £11.4bn was borrowed by the government in October, the worst figure
since records began.
With tax receipts falling by £4.1bn in the month compared to a year earlier,
according to OECD figures, pressure has increased on the government to increase
tax to cover the growing deficit.
Economists predict that the chancellor will miss his predicted borrowing
target for the fiscal year of £175bn, suggesting it could reach £220bn, reports
The rate of VAT will increase to 17.5% after a year at 15%, and advisers
predict that could increase further, alongside other increases for the
pre-Budget report on 9 December.
Capital gains tax could also increase from its 18% rate to bring it more in
line with income tax, and the introduction of the previously delayed 1% increase
in corporation tax for small businesses.
Bankers’ bonuses could also be at risk of a new tax.
Richard Le Tocq, head of Locate Guernsey, discusses the chancellor’s approach to high net worth individuals, and why relocation is increasingly attractive to HNWIs
MTD represents 'the single most significant change to the UK’s system of taxation in recent times', says Knill James partner Nick Rawson. So, how prepared are SMEs for digital tax reporting?
The firm says that the U-turn 'does not alter the need for a fundamental review of the way we tax work' and that the current tax system is in need of reform
Legislation on the NICs changes to be brought forward in the autumn following publication of 'the full effects of the changes to Class 2 and Class 4' in the summer