Spring Budget 2021
On Wednesday 3rd March 2021, Chancellor Rishi Sunak presented the 2021 Budget against a backdrop of ongoing economic hardship, unveiling his economic plan to help the UK recover from the COVID-19 pandemic.
In his speech, The Chancellor stated his budget ‘meets the moment with a three-part plan to protect the jobs and livelihoods of the British people’.
Main Budget proposals
Tax measures
- A super-deduction for companies investing in new plant and machinery
- A time extension of the temporary increase to the SDLT nil rate band for residential property in England and Northern Ireland
- An extension to the temporary 5% reduced rate of VAT for the hospitality and leisure sector
- A temporary increase in the carry-back period for business losses
- An increased rate of corporation tax from 2023.
Other measures
- A new mortgage guarantee scheme
- Extension to the Job Retention Scheme
- A Self-Employment Income Support Scheme fourth and fifth grant
- An extension to the business rates holiday in England.
Previously announced measures:
- A cap on the amount of R&D tax credit paid to a loss-making small or medium-sized enterprise
- New rules apply to off-payroll working payments made for services provided on or after 6 April 2021.
Our Budget Summary provides an overview of the key announcements made in the Chancellor’s speech. It also looks beyond the headlines and provides more comprehensive details on the lesser-known changes that may impact your business and/or your personal finances.
Throughout the Summary, we have included informative comments to help you assess the effect that the proposed changes may have on you personally.
If you have any questions regarding any of the topics mentioned in the Chancellor’s announcement, or would like further clarity regarding how the changes might affect you, please do not hesitate to get in touch with a member of our dedicated team.
Download the PDFDeal Making – Sector Forecast Report
Deal making during 2020 was generally a year of two halves.
Following a strong level of M&A activity up to lockdown there was 6- 8 weeks of paralysis in April and May – largely as a result of COVID-19 concerns (as everyone acclimatised to the pandemic and its effect on funding and asset prices), but also fuelled by Brexit uncertainty, and potential further changes to Entrepreneurs’ Relief (aka BADR) and tax generally. Despite all of this, M&A activity began to recover (variably dependant on sector) in late May, a trend which has continued and since strengthened, gaining notable traction in September/ October – driven by sellers spooked by the unpredictability of the pandemic and fears of adverse capital tax changes, and steady demand from buyers, especially those with funding.
Whilst we have seen fewer large transactions complete this year, there has been a surge in small medium sized deals – those that benefit owner managers – and the small-mid market has recovered much quicker.
As ever, there have been good and bad sectors – but again many sectors detrimentally affected by COVID have restarted with spirit, fuelled by prospects of early budget which has led to increase in deal activity.
Download the PDFCharity News – Autumn 2020
Our charity news includes the latest guidance on coping with the impact of covid-19, promoting diversity and inclusion within the charity sector and how to report serious incidents to the charity regulators.
We also consider the impact of recent reporting and tax developments and other pertinent issues, giving you the inside track on the sector’s current hot topics and latest guidance.
The newsletter is applicable to the whole of the United Kingdom and makes reference to the
three UK charity regulators:
- The Charity Commission for Northern Ireland (CCNI)
- The Office of the Scottish Charity Regulator (OSCR) and
- The Charity Commission for England and Wales (CCEW)
Here at PKF Smith Cooper, our multifaceted team focus on developing strong and trusting relationships with our clients, becoming a trusted adviser. We pride ourselves on the comprehensive range of services we’re able to offer to charities.
Download the PDFBusiness recovery and insolvency guide
With over 35 years of experience providing accountancy and business advisory services, we have the knowledge and expertise to help your company thrive.
Our main aim is to add true value to your business and to achieve this, we offer unlimited support from an expert Partner and highly skilled team. Our close working relationship with clients and ease of access to partners, directors and managers, enables the delivery of fast, quality advice and implementation assistance, particularly when you need it most.
Find out more about the services we can offer you and your business in the publication below.
Download the PDFSmith Cooper Corporate Finance Annual Deals Book 2019 – 2020
A summary of all the deals completed by our Corporate Finance team from April 2019 – March 2020.
Download the PDFBRI: COVID-19 Guidance
Download the PDFAsset Protection
The current economic climate has increased those seeking to protect their businesses from future
risk.
Here, our tax team take a look at some options available to assist with protecting your assets.
Download the PDFCash generative tax advice
Here, our tax team take a look at some of the tax reliefs and allowances which may help you during this time where cash is all important.
Download the PDFSpring Budget 2020
In response to the Chancellor delivering his first Budget, we’ve summarised the tax measures which may affect you, your family and your business.
Download the PDF