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EDITIONS
Monday, 23 March, 1998, 07:29 GMT
Key Budget measures
Gordon Brown
The following is a quick-reference guide to the main points of the March 17 Budget.

  • For families where someone works full-time there is a guaranteed income of at least 180 a week.

    To the same working family a guarantee that no income tax at all will be paid on earnings below 220 a week.

  • Tax on spirits unchanged

  • Beer up 1p a pint

  • Wine up 4p a bottle

  • Tax on cigarettes up 20p a packet

  • Unleaded petrol up 4.4p a litre

  • Leaded petrol up 4.9p a litre

  • Diesel up 5.5p a litre

  • Car road tax frozen at 150

  • Road tax for smaller, cleaner cars cut by 50

  • Employers' National Insurance scrapped on earnings below 81 a week from April 1999

  • A starting rate of income tax at 10p will be introduced "when the time is right to do so"

  • A new tax credit for working people with disabilities starting in October 1999

  • Stamp duty raised to 2% above 250,000 and 3% above 500,000

  • No change in mortage relief, Miras

  • An additional 500m for the National Health Service, 250m for education and 500m for public transport over three years

  • No limit on the amount people can transfer from the existing tax-free investment schemes, Peps and Tessas, into new Individual Savings Accounts, Isas

  • The limit of cash holding for the first year of Isas raised to 3,000.

  • The threshold for inheritance tax rose 8,000 to 222,000

  • Landfill tax up from 7 to 10 per tonne

  • Advanced Corporation Tax abolished from April next year

  • Larger companies to pay Corporation Tax in instalments - cut by 1p to 30p from April 1999

  • Capital Gains Tax for investors holding non-business assets who invest for 10 years cut from 40p to 24p

  • For business investment capital gains tax cut from 40p to 10p

  • First year capital allowances for small and medium companies set at 40%

  • 50m made available to universities through a venture capital fund

The Budget speech in full at the Treasury site

Links to more BUDGET NEWS stories are at the foot of the page.


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