THE GROWTH PLAN 2022
There’s a lot of information to digest following the announcements made by the Chancellor earlier today. Here are some of the main features of the Government’s Growth Plan. 
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Cutting the basic rate of income tax to 19p for 31 million people. That’s a tax cut for 31 million people in just a few months time.
Abolishing the additional rate income tax altogether from April 2023. The 45p rate is higher than the top rate of G7 countries like the US and Italy, and higher than social democracies like Norway.
Cutting National Insurance Tax contributions by 1.25 per cent, helping the average worker keep £330 a year more.
Scrapping plans to increase the UK Corporation Tax rate from 19 per cent to 25 per cent. This move will allow the UK to maintain a competitive business tax regime.
Maintaining the Annual Investment Allowance at £1 million, supporting economic growth by encouraging businesses to invest. The Annual Investment Allowance gives businesses 100 per cent tax relief in plant and machinery and will not fall to £200,000 as planned.
Supporting businesses to raise money and attract talent, encouraging people to start and grow a business in the UK. From April 2023 qualifying companies will be able to raise up to £250,000 in Seed Enterprise Investment (SEIS), helping over 2,000 companies a year to grow thanks to tax reliefs.
Winding-down the Office of Tax Simplification and charge every government department with simplifying our tax system. Instead of an arms-length body which is separate from the Treasury and HMRC we need to embed tax simplification into the heart of the government. Every tax official will focus on simplifying our tax code.
Automatically sunset EU regulations by December 2023 requiring departments to review, replace or repeal retained EU Law. This will reduce burdens on business, improve growth and restore the primacy of UK legislation.
Simplifying IR35 rules to make it easier to remove unnecessary administrative burdens for business. Reforms to off-payroll working have added unnecessary complexity and cost.
Introducing VAT-free shopping for overseas visitors will boost retail and hospitality, restoring a tax cut we have had for many years and supporting some of Britain’s best brands.
Freezing alcohol duty for beer, cider, wine and spirits next year and continue with important reforms which modernise our alcohol duty system saving 3p off a pint of beer and 12p on a glass of wine.
