Chancellor sets out his stall for business in Autumn Statement

The Chancellor has said it is his priority to ensure that Britain remains the number one destination for business.

Delivering his first Autumn Statement since taking charge of the Treasury, Philip Hammond acknowledged that economic uncertainty was likely to create difficulties for UK firms and laid out plans to create “jobs, investment and prosperity.”

“I know how much business values certainty and stability, and so I confirm today that we will stick to the business tax roadmap we set out in March,” he said.

In an hour-long speech to the Commons, Mr Hammond confirmed plans to:

  • Cut Corporation Tax to 17 per cent, although the speculation that a further reduction (perhaps to 15 per cent) may be announced proved to be false.
  • Implement a business rates reduction package worth £6.7million.
  • Increase Rural Rate Relief to 100 per cent, which will be worth up to £2,900 each year to eligible businesses.
  • Lower the transitional relief cap to 43 per cent next year.

Conversely, businesses will have to make preparations for a further increase in the National Living Wage, which is set to rise to £7.50 an hour from next April, and a proposal to align the employee and employer National Insurance thresholds.

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Adam Cramer

Adam Cramer

Partner at Wilson Wright