Rishi Sunak confirms Universal Credit taper cut and slashes alcohol tax in the Autumn budget

Trevor Bristow
October 28, 2021
Business News

Business rates in ‘hospitality’ sectors slashed:

• Business rates will be cut for sectors hardest hit by the pandemic. Pubs, music venues, cinemas, restaurants, hotels, theatres, gyms can claim a discount on their bills of 50 per cent, up to a maximum of £110,000.

Transport:

• The planned rise in fuel duty will be cancelled due to pump prices being at their highest level in eight years. This is the 12th year in a row fuel duty has been frozen.

Universal Credit:

• The Universal Credit taper rate (the amount of Universal Credit withdrawn for every pound someone earns) will be cut by eight percent, from 63p to 55p. This change will take effect no later than 1 December.

Alcohol duty:

• The Chancellor unveiled ‘the most radical simplification of alcohol duties for over 140 years” based on the principle that “the stronger the drink, the higher the rate.

• Sparkling wines (and lower strength alcohol drinks such as fruit ciders) will see rates slashed as they will now pay the same duty as still wines of equivalent strength.

• A new Draught Relief will cut duty on drinks served from a draught container of over 40 litres by five per cent from 2023 – reducing the price of a pint by 3p.

• The planned increase in duty on spirits like Scotch Whisky, wine, cider and beer was scrapped from from midnight tonight.

Levelling up:

• At least 100 areas will benefit from the £1.7bn of levelling up funding, including those in devolved nations. These areas include: Bury, Leeds West and Stockton.

Please do get in touch with any queries or concerns you may have. We are here to help. You can contact us by telephone on 01425 877700 or by email: flourish@hub.accountants