While the budget seems to present a set of unmet expectations, I remain committed to thoroughly examining all its facets in the coming days. It is disheartening to note that governments frequently seem to place a higher value on gaining public approval instead of addressing the pressing issues that genuinely demand their immediate focus and action.

This tendency not only undermines the effectiveness of governance but leaves critical challenges unresolved, thereby impacting the well-being of the people they are meant to serve.

• Employers’ NICs will increase from the previous rate of 8% to 15% starting in April 2025. The secondary threshold employers must pay NICs will be reduced to £5,000 from £9,100. The Employment Allowance has been increased to £10,500.

• Capital Gains Tax (CGT) rates have increased to 18% for basic rate taxpayers and 24% for higher rate taxpayers. CGT rates on residential property will remain at 18% and 24%.

• The Inheritance Tax (IHT) nil rate band remains frozen at £325,000 for individuals, while the residence nil rate band remains at £175,000 for estates up to £2 million. Both thresholds are frozen until 2030.

• Starting in 2027, Labour will introduce Inheritance Tax (IHT) on pensions, meaning they will form part of the deceased’s estate.

• Labour has increased the SDLT surcharge for second and additional properties from 3% to 5%, effective from 31st October 2024.

• Labour has not maintained the Stamp Duty Land Tax (SDLT) relief threshold of £425,000 for first-time buyers. As a result, first-time buyers purchasing a property will now pay SDLT at the 2025 rate of 5% on properties priced above £300,000 and below £500,000. For first-time buyers purchasing a property priced above £500,000, the standard SDLT rates for 2025 will apply. Labour increased the SDLT surcharge for second and additional properties from 3% to 5%, effective 31st October 2024.

• Alcohol duty rates on non-draught products will increase in line with RPI starting in February next year. Duties on draught alcohol will be reduced by 7%.

• Tobacco duties will increase with RPI plus an additional 2%. This increase will also apply to vaping products starting in 2026.

• Labour has frozen fuel duties for this Budget and has extended the current 5p cut for another year.

• Labour has followed through on its pledge to remove VAT and business rates exemptions from private schools, effective January 2025.

The Budgetary process encompasses two pivotal phases before its enactment as law. Initially, Parliament thoroughly examines the proposed alterations to the taxation system, characterised by a series of votes and extensive deliberations among its members.

Once this scrutiny is complete, the Budget is ratified through a finance bill delineating the new tax architecture assuredly. Although it is conceivable that a government might face resistance concerning a particular Budget proposal, such an eventuality is improbable in light of the Labour Party’s commanding majority in Parliament.

Specific newly implemented regulations are anticipated to take effect at the commencement of the forthcoming tax year, whereas others may be enacted immediately.