George Osborne’s third Budget in only twelve months still managed to pack in some surprises. Despite pre-announcing that there would be no further changes to the pension regime this time around, the pension ISA wasn’t completely abandoned with the introduction of the lifetime pension / homebuyer ISA. Could this be a stepping stone for his next pension move?
Capital Gains Tax was reduced from 28% to 20% for some, but significantly the pressure has been maintained on residential property with buy-to-let landlords being excluded from the reduction. Further bad news for property investors was the exclusion of any cap from the 3% additional Stamp Duty Land Tax for large investors.
The cost of borrowing out of a family company also increased.
On the plus side and contrary to expectation, Entrepreneurs’ Relief far from being curtailed has been extended to investors. For further details of these and all of the Budget announcements please see our Budget summary.
If you have any queries regarding any matters raised in the Budget Statement then please don’t hesitate to speak to your usual contact or email us.