North East Hertfordshire MP Oliver Heald has welcomed the key measures outlined in yesterday’s 2014 Budget. These include:
-Help for savers: increase in the annual saving limit for ISAs to £15,000, abolition of the 10p rate on savings income and the introduction of pensioner bonds in January 2015.
-Pension flexibility: From April 2015, the removal of tax restrictions for those accessing defined contribution pensions in relation to annuities, and for those wanting to take more than their tax-free lump sum and also the provision of advice for those retiring on DC schemes so that they can make an informed choice.
-Cutting Taxes: rise in the personal allowance to £10,500 in 2015/16, halving of bingo tax from 20 to 10 percent and reduction of beer duty by 1p.
-Supporting Manufacturing: Cap of the Carbon Price Support rate saving mid-sized manufacturers and families money on their energy bill and support to energy extensive industries with compensation for green levies.
-Support to Businesses: Doubling of the Annual Investment Allowance to £500,000 and of the amount of business lending available to £3 billion, reform of the Air Passenger Duty and rise of the rate of Research and Development tax credit for loss making SMEs to 14.5%.
-Getting Britain Building: Help to Buy Scheme for new homes to run until 2020, creation of new homes in the new Garden City in Ebbsfleet and provision of a fund to help small developers access finance.
-Pension Measures that will be implemented from March 2014 include: cut in the minimum income requirement for flexible drawdown from £20,000 to £12,000, rise in the capped drawdown limit from 120% to 150% and increases in the size of a single pension pot that can be taken as a lump sum five-fold to £10,000; in the number of pots under £10,000 that can be taken as a lump sum from two to three; and in the size of total pension savings that can be taken as a lump sum to £30,000.
Commenting Oliver Heald said “The measures announced by the Chancellor yesterday will have a number of benefits to those within my constituency particularly small and middle sized enterprises and pensioners who have saved hard throughout their lives. I will also be interested to see how the Ebbsfleet Garden City progresses given the success of Letchworth Garden City which is in my constituency. Those interested in finding about more details about the Budget can find them here.”