National Insurance and dividend tax rises
A new health and social care tax will be introduced across the UK from April 2022. The tax will initially begin as a 1.25 percentage point increase in National Insurance, paid by both workers and employers. From April 2023, it will become a separate tax on earned income, calculated in the same way as National […]
Strongest seller’s market in ten years
Nearly seven in ten properties up for sale (68%) across the UK found a buyer in the year to June 2021, according to Rightmove data1 – the highest percentage in a decade. This is significantly higher than the average 53% of homes that found a buyer between 2012 and early 2020. Scotland leads the way […]
Muddy waters swirl around IHT
In late July, HM Revenue & Customs (HMRC) published its annual statistics on Inheritance Tax (IHT). These revealed that IHT payments received by HMRC in the 2020-21 tax year totalled £5.4bn, up about £0.2bn (almost 4%) on 2019–20, when receipts were slightly lower than 2018–19. Typically, more than 20,000 deaths per year result in an […]
Autumn: Time to hunker down and get organised
As the year progresses to the season of ‘mists and mellow fruitfulness’, thoughts inevitably turn to hunkering down with hot chocolate and toasted marshmallows as the nights draw in. Autumn is a season traditionally associated with change, as well as themes of comfort, preservation and protection; a time to get things in order. Time to […]
Grounds for economic optimism as we journey through the autumn
Although the strength and speed of the global recovery over the first half of this year exceeded most expectations, the economic outlook inevitably remains uncertain. However, while future growth prospects are likely to stay closely linked to the future path of the virus, as we journey through autumn there do appear to be grounds for […]
Housing and mortgage recovery to remain strong
Despite challenges presented by the pandemic, the housing and mortgage market is expected to remain robust, with gross mortgage lending projected to reach £285bn this year. The revised figure from the Intermediary Mortgage Lenders Association (IMLA) has been uplifted from a previous forecast of £283bn. The predictions follow a surge in mortgage lending, stimulated by […]
Long-COVID pension pot peril
The pandemic has affected almost everyone in myriad ways, whether medically, socially or financially; its death toll has been appalling and overshadows all other consequences. The vast majority have fortunately come through the pandemic, but the speed of recovery from its consequences has been variable. Medically, many patients have recovered well, but some with prolonged […]
Do you know your home’s true worth?
Most people have a rough estimate in their head of how much they could sell their home for if they ever decided to move – but how accurate is it? In a survey1, nearly half (45%) of homeowners undervalued their property by £46,305 on average, while 25% overestimated by an average of £44,313, with under […]
Rising inheritances and deficit may hasten IHT change
In 2018, Chancellor Philip Hammond asked the Office of Tax Simplification to review Inheritance Tax1. However, subsequent events have meant that the tax regime for transfers of wealth between generations has not been revised, though Mr Hammond’s next-but-one successor Rishi Sunak could yet dust-off two OTS reports2. A big deficit caused by the pandemic points […]
Equity release availability hits record high
The number of equity release products on the market is the highest it has ever been, with rates over two percentage points lower than five years ago. Data1 shows that the number of equity release products now exceeds 500 – the highest on record. The analysis also reveals that the maximum available LTV has remained […]