Budget Day On Wessex FM
3:03pm 17th March 2014
(Updated 6:37am 20th March 2014)
The Chancellor has announced a budget he says is for the "makers, doers and savers".
Richard Bugler from Albert Goodman Chartered Accountants joined us at Wessex FM HQ to make sense of it all.
Here are some of the main points from the 2014 Budget:
From April next year the personal allowance will rise again - so you can earn £10,500 pounds before paying tax.
George Osborne is scrapping the increase in fuel duty planned for September.
Beer duty is being cut by a penny a pint for the second year running.
The alcohol duty escalator is to be scrapped, so taxes on booze will rise in line with inflation - except for whisky and cider, where it's frozen. Duty on cider is frozen, with Osborne recognising “cider makers in the West Country who were hit hard by the recent weather.”- "Good news for West Country Cider Makers", says Richard.
For smokers - tobacco duty will continue to rise at 2% above inflation.
There's a boost for bingo halls - as the tax they pay will be halved to 10% to protect jobs and communities.
Money is being made available for damaged flood defences and to fix pot holes.
The help to buy scheme for new houses will be extended to 2020.
Fines for some city banks will be going to Armed Forces charities, Search & Rescue, Lifeboat, Scouts and Guides.
There also will be changes for savers - with a new type of ISA allowing people to invest up to £15,000 a year tax-free.
And low earners will no longer have their savings taxed at all.
Meanwhile rules are being relaxed to allow greater flexibility on how retired people access their pension pot.
Our expert Richard summarised his views on the budget for Dorset;
"There's going to be easier access to finance for exporters, there's going to be some improved relief for research and development for start-up businesses, and the relief known as the annual Investment allowance to encourage investment has been doubled. Good news also for our region's cider makers- no increase on duty there, a freeze there- and finally, something that's been announced already, but for every business employing people there'll be a £2,000 National insurance rebate. So, some good news generally."
Richard added that the only people who may be disappointed by the Budget could be the unemployed and those on a lower income as it seems not a lot has been done to help them.