Autumn Budget tax predictions

GRANT THORNTON

In their blog, Grant Thornton shares their views on the Autumn Budget tax predictions.

Labour’s manifesto, followed by the publication on 29 July of further detail on a number of the priority tax commitments included in the manifesto, provides some answers. As a recap, the Government has already set out that they intend to include the following “revenue-raising” tax measures in the Budget, along with further detail on their policy design given each has been consulted on to varying degrees over the summer.

  • VAT on private school fees and removing the charitable Business Rates relief for private schools, a measure for which draft legislation has already been published.
  • A continuation of the prior Government’s policy to replace the non-domicile regime with a new residence-based regime from 6 April 2025, albeit with a number of changes expected to the policy design.
  • Changes to the taxation of carried interest, relevant to the Private Equity industry
  • An extension to the Energy Profits Levy.

These measures, alongside a commitment to update on policies at the Budget to help close the tax gap, were estimated in Labour’s manifesto to raise in the region of £8.5bn by 2028/29.

Read more on their website.