The Chancellor made his annual Spring Statement on 23rd March 2022.

Here are some key measures set out in the Government tax plan that may affect you and your business: –

• The National Insurance Primary Threshold (employees NI) for Class 1 NIC will rise to £12,570 from 6 July 2022 bringing it in line with the income tax personal allowance.
• The Employment Allowance will be increased from £4,000 to £5,000 from 6 April 2022.
• There will be a reduction in duty on diesel and petrol by 5 pence per litre. This has already come into effect.
• Basic rate tax will be reduced from 20% to 19% in 2024.
• 0% VAT will be charged on energy saving materials such as solar panels, heat pumps and insulation for the next 5 years.

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