HMRC has written to 145,000 UK businesses to urge them to begin preparing now for a potential ‘no deal’ Brexit scenario. The letters, which have been sent to VAT-registered businesses which trade only with the EU, explain changes to customs, excise and VAT in the ‘unlikely event’ that the UK …
Report suggests HMRC ‘treating taxpayers unfairly’
A report published by the Economic Affairs Committee has suggested that HMRC is ‘treating taxpayers unfairly’, and has called for the Revenue’s tax avoidance and evasion powers to be reviewed. The Committee stated that HMRC is failing to ‘discriminate effectively’ in regard to the full range of behaviours and circumstances …
ICAEW urges employers to consider the tax implications of a seasonal party
The Institute of Chartered Accountants in England and Wales (ICAEW) has urged employers to consider the tax implications associated with a seasonal party. A company end of year party can be a great way to celebrate the festive period, as well as employees’ hard work. However, there are certain conditions …
Prime Minister backs ‘Pensions Dashboards’ initiative
Prime Minister Theresa May has outlined her commitment to the launch of the so-called ‘Pensions Dashboards’ initiative. The new Pensions Dashboards will enable workers to view their future retirement funds on their mobile phones and tablet computers. A feasibility study on the development of hi-tech tools has been launched, with …
Your financial New Year’s resolutions
Creating some financial New Year’s resolutions is a good way to help ensure that you are on course for a successful and profitable year ahead. It is important to ensure that you are making the most of your business and personal wealth, as well as capitalising on any available allowances …
‘Improve employees’ digital skills via apprenticeships’, organisation urges employers
Research carried out by not-for-profit organisation The 5% Club has suggested that apprenticeships or training schemes could help to improve employees’ digital skills. The research found that fewer than 2% of employers feel confident that their employees are well-placed to take advantage of new developments in technology. 78% of The …
HMRC writes to taxpayers ahead of introduction of Welsh rates of income tax
HMRC has started to write to taxpayers ahead of the introduction of the Welsh rates of income tax (WRIT) on 6 April 2019. From this time, taxpayers will pay the WRIT if their main residence is situated in Wales. The Welsh government will set the rates. It intends to use …
Resources News Business News Archive Late payments and restricted access to finance ‘impacting firms’ ability to grow’
A survey carried out by data provider Dun & Bradstreet has suggested that small firms’ plans for growth are being adversely affected by late payments and restricted access to finance. Overdue payments ‘remain a prevalent challenge’ for many businesses, the survey revealed. The average amount owed to small and medium-sized …
Brexit deal ‘will cost UK £100 billion per year’ by 2030, study suggests
A study carried out by economic think tank the National Institute for Economic and Social Research (NIESR) has suggested that the government’s Brexit deal will cost the UK £100 billion per year by 2030. The study also indicated that Gross Domestic Product (GDP) will be 3.9% lower by 2030. The …
OTS calls for overhaul of inheritance tax regime
The Office of Tax Simplification (OTS) has urged HMRC to overhaul the UK’s inheritance tax (IHT) regime. In January 2018, Chancellor Philip Hammond commissioned the OTS to carry out a review of the IHT regime, and outline ways in which the tax can be simplified. In its report, which is …
Committee warns small firms ‘could pay heavy price’ for MTD for VAT
The Economic Affairs Committee has warned HMRC that UK small businesses ‘could pay a heavy price’ for Making Tax Digital for VAT (MTD for VAT). In a new report, the Committee stated that HMRC has ‘failed to adequately support small businesses’ ahead of the introduction of MTD for VAT. The …
First-time homebuyers ‘saved £426 million’ as result of changes to stamp duty
Data published by HMRC has revealed that first-time homebuyers have collectively ‘saved £426 million’ as a result of changes to Stamp Duty Land Tax (SDLT). In the 2017 Autumn Budget, Chancellor Philip Hammond announced a new exemption from SDLT for most first-time homebuyers. From 22 November 2017, first-time buyers in …
Statistics reveal ‘sugar tax’ has generated £153 million for HMRC
Data has revealed that the Soft Drinks Industry Levy generated £153.8 million for HMRC in the year-to-date, up to the end of October. First announced in the 2016 Budget, the Levy came into effect from April 2018. It was introduced as part of a package of measures designed to combat …
Older employees ‘would welcome flexible working’, survey suggests
A survey carried out on behalf of the Department for Business, Energy and Industrial Strategy (BEIS) has found that the majority of workers aged over 50 would ‘welcome more flexibility’ in the workplace. The survey, which polled more than 12,000 workers over the age of 50, revealed that 78% would …
Official data reveals wages have risen ‘at fastest pace in a decade’
Data published by the Office for National Statistics (ONS) has revealed that wages rose at the fastest pace in almost a decade in the three months to September. When compared to the same period last year, wages, excluding bonuses, grew by 3.2% – representing the biggest increase since 2008. Once …
Self-employed individuals ‘would back plans to expand pensions auto-enrolment’
A survey carried out by insurance firm Prudential has suggested that over half of self-employed workers would back plans to expand pensions auto-enrolment, or make pension saving compulsory. According to the survey, 27% of those polled would support the expansion of pensions auto-enrolment to cover the self-employed, and an additional …
Business groups react to draft Brexit deal
Business groups have reacted to the government’s draft Brexit deal with the EU. Following a five-hour debate on the matter, Prime Minister Theresa May secured her Cabinet’s backing for the deal. However, a handful of MPs have resigned following the agreement, with some stating that they cannot support the draft …
Government urges small businesses to utilise broadband vouchers
14 Nov 2018 The government is urging small businesses to make use of so-called ‘broadband vouchers’, which are worth £2,500. The Gigabit Broadband Voucher Scheme helps small firms in covering the cost of installing a full fibre, gigabit-capable connection. The government intended for the scheme to run until March 2021, …
Committee launches inquiry into banks’ treatment of vulnerable customers
The Treasury Committee has launched a new inquiry into whether UK banks are doing enough to help vulnerable customers. As part of the inquiry, the Committee will examine whether vulnerable individuals are being overcharged for insurance. A report published recently by Citizens Advice suggested that some individuals are losing as …
Restricted access to finance ‘holding back UK economy’, FSB warns
The Federation of Small Businesses (FSB) has warned that UK economic growth is being ‘restricted’ by limited access to alternative finance options for small businesses. Research carried out by the FSB revealed that just 13% of small firms are currently looking to apply for external finance. 68% of these businesses …
MRC sends MTD for VAT communications to affected businesses
HMRC recently started to send out so-called ‘encouragement letters’ to businesses within the scope of Making Tax Digital for VAT (MTD for VAT). The letters are being sent to 200,000 businesses which are eligible to join the current MTD for VAT pilot. According to reports, HMRC is also sending letters …
Prime Minister establishes five ‘Brexit business councils’
Prime Minister Theresa May has created five new ‘Brexit business councils’, which will provide UK firms with advice and support in regard to creating the ‘best business conditions’ post-Brexit. According to the government, each council will meet three times per year in order to supply ‘high-level advice’ on issues surrounding …
Government unveils changes to probate fees
The government has unveiled significant changes to probate fees, which could result in owners of high-value properties paying nearly £6,000 more. As part of the government’s plans, from April 2019 a banded system of probate fees will be introduced for estates with a value above £50,000. The government stated that, …
ICAEW suggests confidence amongst businesses has ‘slumped’
The Institute of Chartered Accountants in England and Wales (ICAEW) has suggested that confidence amongst businesses has ‘slumped’ as a result of ongoing Brexit uncertainty. The ICAEW’s Business Confidence Monitor recently revealed that confidence deteriorated from -12.3 in the fourth quarter of 2018 to -16.4 during this quarter. According to …
HMRC delays reform of late payment penalty regime
HMRC has further delayed the planned reform of the late payment penalty regime. HMRC planned to introduce the new penalty regime alongside Making Tax Digital (MTD) for income tax in April 2018, but the Revenue subsequently pushed its introduction back when MTD for income tax was deferred to April 2020. …
ONS data reveals gender pay gap has fallen to its ‘lowest level yet’
Data published by the Office for National Statistics (ONS) has revealed that the gender pay gap has fallen to its ‘lowest level yet’. The statistics showed that, in the year to April 2018, the gender pay gap for full-time employees fell to 8.6%, from its previous figure of 9.1%. However, …
PAC warns ‘cracks showing’ in HMRC’s performance ahead of Brexit
The Public Accounts Committee (PAC) has warned that ‘cracks are showing’ in HMRC’s performance ahead of Brexit, which is set to take place on 29 March 2019. In a new report, the PAC stated that HMRC has a ‘daunting task’ ahead of it as it prepares for Brexit. HMRC also …
UK late payment culture ‘showing signs of improvement’, research reveals
The so-called late payment culture in the UK is ‘showing signs of improvement’, according to research carried out by invoicing solutions firm Tungsten Network. The research revealed that the average time taken to pay suppliers has improved by 14% since 2016. UK firms now pay their suppliers ‘ten days quicker …