Autumn Statement key takeaways 2023

23 / 11 / 2023  |  Blogs

In the Autumn Statement 2023, the Chancellor, Jeremy Hunt referenced five focus areas – reducing debt, cutting tax and rewarding hard work, backing British business, building domestic and sustainable energy, and delivering world class education – and we have compiled an overview of the key takeaways and announcements.

On-demand webinar

Responding to: The Autumn Statement 2023

Vehicle tax
  • VED for HGVs and HGV Levy frozen at 2023-24 rates for 2024-25.
  • VED rates for cars, vans and motorcycles increase in line with RPI from 1 April 2024.
  • Van Benefit Charge and the Car & Van Fuel Benefit Charges frozen at 2023-24 rates for 2024-25.
Image of Zenith van fleet
Taxation and pension
  • Main rate of National Insurance for those earning between £12,570 and £50,268 cut from 12% to 10% from 6th January 2024. This equates to an annual saving of £450 per year for an average earner.
  • “Full expensing” for businesses will become permanent, and businesses will be able to obtain 100% capital allowances on qualifying assets. This excludes cars and leased assets.
  • There is a freeze on all alcohol duty until August 2024.
  • Pensions Triple Lock and Pension Credit will be protected and rise by 8.5%, worth £900 per year, from April 2024.
  • From April 2024, those who are self-employed, Class 2 National Insurance will been abolished from April 2024, and Class 4 NI will be cut from 9% to 8%.
  • The duty rate for hand-rolling tobacco will rise by an additional 10%, to 12% above RPI inflation.
Image of megaphone
Support to work
  • £50m funding over two years to boost training in growth sectors and address barriers to entry in high-value apprenticeships.
  • £500m committed to funding supercomputing centres and AI innovation.
  • Universal Credit to increase by 6.7%, worth £475 per year for 5.5 million households.
  • The National Living Wage will increase to £11.44 per hour from April 2024.
  • Small business rates multiplier frozen for a further year.
  • £250m investment to enable UK pension funds to back the UK’s most innovative science and technology companies.
Image of colleagues in their workplace
Communities and wellbeing
  • An additional £10m will be spent to support veterans through the Veterans’ Places, Pathways and People programme.
  • People living closest to new pylons and electricity substations will receive up to £10,000 off their bills over 10 years.
  • The Mortgage Guarantee Scheme is set to be extended until June 2025.
  • Increase in the local housing allowance, which has been frozen since 2020.
Image of pylons near housing
Image of EV charge point
  • Reform of the grid connection process to cut waiting times
  • £2bn to be invested in the automotive sector to support development of zero emission vehicles
  • Consultation on amending the National Planning Policy Framework to ensure the planning system prioritises the rollout of EV chargepoints.
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On-demand webinar - Responding to: The Autumn Statement 2023

On Thursday 30th November, our consultancy experts were joined by Catherine Bowen, Senior Policy Advisor from trade body BVRLA, and Mariefi Kamizouli, Head of Economics and Productivity at Logistics UK, to take us through a detailed analysis of the Autumn Statement.