Chancellor George Osbourne delivered the first full “Tory” Budget in nearly 20 years. Heralding the Second Budget as a “big Budget for a country with big ambitions” he announced a series of measures affecting business, tax and welfare.

The key announcements were as follows:-

• A new Inheritance Tax nil-rate band for family homes, phased in from 2017.
• Mortgage interest relief for buy-to-let homebuyers to be restricted to basic rate of income tax.
• Corporation tax to be cut to 19% in 2017 and 18% in 2020.
• From April 2016 dividend tax credit to be replaced with a new tax-free allowance of £5,000 on dividend income. New rates of tax on dividend income of 7.5%, 32.5% and 38.1%.
• Annual Investment Allowance set at £200,000 from January 2016.
• From 6^th April 2016, the benefits of pensions tax relief, for those earning more than £150,000, will be restricted, tapering away to £10,000, down from £40,000.
• Employment Allowance increased to £3,000 from April 2016.

In order to review the Second Budget 2015 in more detail please download the Garratts Budget Booklet.

Download the Garratts budget booklet PDF