Rishi Sunak today addressed the Commons with his Autumn Budget plans, setting out numerous changes with only a small handful affecting the property industry/market and our cliental across the sectors. The main takeaways being:
- There were no changes to stamp duty land tax or capital gains tax
- Business rates relief of up to 50% for the retail, hospitality and leisure sectors in England up to a maximum of £110,000
- The simplification of alcohol duties including a lower rate of duty for draught beer and cider to 5%
- £24bn pot for the housing sector with £11.5bn to provide 180,000 affordable homes.
- 4% levy on property developer profits over £25m to create a £5bn fund to remove unsafe cladding.
Whilst there have not been any major changes for the property sector as a whole, the Chancellor has seemingly looked to help those struggling sectors (namely retail, hospitality and leisure) with a boost in rates relief. The pandemic provisions brought in towards the start of lockdown saw a 100% rates relief for 2020 and 2021. This move is a longer term step in the right direction helping, what was regarded by many, to be an inhibitive tax on the sectors.
The remodelling of alcohol duties will more than likely only help the larger corporations and institutions in the long run, with smaller independents unlikely to see any major difference made to their bottom lines. With the country's burgeoning wine and craft beer sector many producers will be pleased to see this overall.
Sales Director for Balfour Winery on the Hush Heath Estate, Adam Williams, provided comment on the welcome boost to changes in duties
“Demand for English wine is growing year on year and the announcement today by the Chancellor, bringing sparkling wine duty down to the same as still wine, is a further boost to the industry and will hopefully encourage more people to try our wonderful wines.”