Wealth Manager - the site for professional investment managers

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

Autumn Statement: Top-tier tax threshold raised

1 Comment
Autumn Statement: Top-tier tax threshold raised

The threshold for paying the top 40% rate of income tax will rise by 1% from 2014, the government announced today.

In the Autumn Statement, Chancellor George Osborne announced the threshold for paying the top-tier level of income tax will go from £41,450 currently to £41,865 in 2014, followed by a further 1% rise in 2015 to £42,285.

The news came as the Chancellor announced plans to 'uprate' benefit, essentially freezing rises in state support at less than the rate of inflation. He said this should be matched with less tax for those who do work.

'I want to be completely clear with people, this is in an increase. In fact it is the first cash increase in the higher rate threshold in this parliament,' he said.

'Again, there are no easy ways to reduce the deficit - but from year to year, no one will pay a penny more in income tax.'

Personal allowance will rise by £1,335 next year, ‘the highest cash increase ever’, Osborne claimed, so that next year workers will be allowed to earn £9,440 before paying any income tax at all.

‘This is a direct boost to people working hard to provide for their families,’ he said.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Kames' Ennett: Trump good for US high yield, but beware Europe

Kames' Ennett: Trump good for US high yield, but beware Europe

Kames Capital’s head of high yield David Ennett believes the changing political landscape will be a positive for the US, but negative for Europe in 2017.

Play Philip Milburn: why inflation won't run out of control

Philip Milburn: why inflation won't run out of control

Kames bond fund manager views inflation as more of 'scare' than a 'problem' and is positioning his portfolios accordingly.

Play Henderson's Lofthouse on merger boost and political risk

Henderson's Lofthouse on merger boost and political risk

Ben Lofthouse talks through where he is finding income and what surprises await the global economy in the new year.

Read More
Your Business: Cover Star Club

Profile: why Patronus Partners' founder left the only job he ever knew

Profile: why Patronus Partners' founder left the only job he ever knew

'There was a definite idea of how things would work out over 12 months. When we look back, that was inaccurate'

Wealth Manager on Twitter