Personal Tax

HMRC will raise interest rates on tax debt from 11 October following the 0.5% increase in the base rate. This means that the late payment interest rate will increase to 4.75% from 11 October 2022. The rate last increased to 4.25% on 23 August. This is the highest rate since the height of the financial crisis in January 2009. Late payment interest is payable on late tax bills ...

In September 2021 the government published its proposals for new investment in health and social care in England. The proposals were intended to lead to a permanent increase in spending not only in England but also by the devolved governments. To fund the investment the government introduced a UK-wide 1.25% Health and Social Care Levy based on the National Insurance contributio ...

Economic analysts have warned that the rate of inflation could keep rising in 2023 as a result of rising energy prices. Think tank the Resolution Foundation stated that inflation could go above 15%, whilst investment bank Citi said that it is ‘entering the stratosphere’ and could reach 18.6%. Predictions outlined by the Bank of England (BoE) have suggested that inflation coul ...

The Treasury Committee has urged the government to provide assurance that it is not ‘flying blind’ into a potential Emergency Budget this September. In a letter sent to Chancellor Nadhim Zahawi, Mel Stride, Chair of the Treasury Committee, asked whether the Treasury is working with the Office for Budget Responsibility (OBR) on a forecast to be published with any potential Emer ...

The Trades Union Congress (TUC) has called on the government to increase the National Minimum Wage (NMW) rates 'immediately' in order to guarantee decent living standards for families. Research carried out by the TUC found that UK poverty levels are 'likely to get worse' if ministers continue to hold down pay. Additional financial support for families announced by the Treasury ...

The level at which students begin to pay back their loans will be lowered from £27,295 to £25,000 for new borrowers. From September 2023, the interest rate on student loans will also be set to RPI+0%. Additionally, the length of time that students have to pay their loans back until they can be written off has been extended from 30 to 40 years. University tuition fees have bee ...

The Confederation of British Industry (CBI) has warned the government that the planned rise in national insurance will squeeze budgets and affect economic growth. The rise will see employers, employees and the self-employed pay 1.25p more in the pound from April 2022. From April 2023, the extra tax will be collected as part of the new Health and Social Care Levy. Prime Minist ...

Consumer group Which? has urged taxpayers to avoid using so-called 'refund firms' to claim tax rebates. Which? stated that people are losing hundreds of pounds by using third-party companies to claim tax rebates rather than going directly to HMRC. Research carried out by the group found that one in five people had been either contacted directly by a tax refund company via ema ...