Taxes

• National Insurance contributions for employers will increase from 13.8% to 15% from April 2025.

• The threshold at which businesses start paying national insurance on workers' earnings will be lowered from £9,100 to £5,000.

• No extension on the freeze in income tax and national insurance thresholds.

• Lower rate for capital gains tax increased from 10% to 18%, with higher rate rising from 20% to 24%.

• Non-dom tax regime abolished.

• Inheritance tax thresholds will be frozen for a further two years until 2030.

• From April 2027, inherited pensions will be subject to inheritance tax.

• From April 2026, the first £1m of combined business and agricultural assets will continue to attract no inheritance tax at all, but for assets over £1m, inheritance tax will apply with 50% relief, at an effective rate of 20%.

• From the 2028/29 tax year, personal tax thresholds will be uprated in line with inflation.

Wages, allowances and reliefs

• National minimum wage will rise by 6.7% to £12.21 from April 2025.

• The minimum wage for those aged 18 to 20 will rise by 16.3% to £10 an hour.

• The weekly earnings limit for those claiming carers allowance will increase to the equivalent of 16 hours per week at the national living wage.

• Introduction of a fair repayment rate meaning that the level of debt that can be taken from a household’s monthly Universal Credit payment will reduce from 25% to 15%

• The state pension and pension credit standard will increase by 4.1% in the 2025/26 tax year.

• Employment allowance would be increased to £10,500 from £5,000.

• Business asset disposal relief will remain at 10% this year before rising to 14% in April 2025 and to 18% from 2026/27.

• Lifetime limit for business asset disposal relief maintained at £1m.

• 40% relief on business rates for the retail, hospitality and leisure industry in 2025/26 up to a cap of £110,000 per business.

Duty

• Introduction of a flat-rate duty on all vaping liquid from 2026.

• Renew the tobacco duty escalator at RPI +2%, increase duty by 10% on hand-rolled tobacco this year.

• Fuel duty of a 5p cut remains in place.

• Draught duty cut by 1.7%, taking a penny off pints in pubs.

• Air passenger duty to increase by 50% for private jet passengers.

• Air passenger duty to increase by no more than £2 for an economy flight.

• Increase in the stamp duty land tax surcharge for second homes, known as a higher rate for additional dwellings, to 5% which will come into effect from 31^st October 2024.

Education

• Core schools’ budget will increase by £2.3bn in 2025.

• Business rates relief would be removed from April 2025.

• VAT levied on private school fees will come into effect at a 20% hike from January 2025.

• An additional £300m will be provided for further education.

• £1bn uplift will be given to fund special educational needs education.

• Tripling investment in breakfast clubs to fund them in thousands of schools.

• £6.7bn of capital investment to the Department for Education next year to tackle school buildings, including £1.4bn for the schools in the greatest need.

• Additional £2.1bn to improve school maintenance which will help schools deal with the RAAC concrete crisis..

Ministry of defence

• 2025 budget of £2.9bn.

• Further guarantee of military support to Ukraine of £3bn per year.

Key sector funding

• Nearly £1bn for the aerospace sector to fund vital research and development.

• Over £2bn to support the electric vehicle industry and develop Britain's manufacturing base.

• Up to £520m for a new Life Sciences Innovative Manufacturing Fund.

• £25m for the Northeast Combined Authority to invest in the Crown Works Studio site in Sunderland creating 8,000 new jobs.

• Over £20bn for government investment in research and development.

Transport and road improvements

• £3 bus fare cap will be extended to December 2025.

• Over £650m of local transport funding to "improve connections across the country in towns, villages and in rural areas.

• £1.3bn of funding will be delivered to improve connectivity in our city regions.

• £500m increase in road maintenance budgets to fix an additional 1 million potholes per year.

Public Services

• £1.3bn in grant funding was announced to deliver essential services. This includes £600m to social care and £230m to tackle homelessness and rough sleepers.

• Greater Manchester and the West Midlands will be the first mayoral authorities to receive integrated settlements from next year.

• Additional funding to crack down on the organised gangs which target retailers.

• £25m was awarded to the Welsh Government next year for the maintenance of coal tips.

• £3.4bn to Scotland through the Barnett formula funding.

• The budget also provides £1.7bn to the Welsh Government and £1.5bn to the Northern Ireland executive in 2025/26.

Health Sector

• £22.6bn increase in the day-to-day health budget, and a £3.1bn increase in the capital budget before the end of 2025.

• £1bn of health capital investment will be given to address the backlog of repairs and upgrades across the NHS estate.

• A further £1.5bn for new beds in hospitals across the country.

Other announcements

• £11.8bn will be set aside to compensate victims of the infected blood scandal.

• £1.8bn would be set aside to compensate victims of the post office horizon scandal.

• Funding to commemorate the 80th anniversary of VE and VJ Day next year, to honour those who have served a home and abroad.

• £2m will be put towards holocaust education.

• Funding for 11 new green hydrogen projects across England and Scotland.

• Kick start of the warm homes plan with an initial £3.4bn over the next three years to transform 350,000 homes.