True Potential Managing Partner David Harrison gives his Autumn Statement predictions ahead of Wednesday’s announcement by the Chancellor.
“This year’s Autumn Statement will be one of the final red-letter appearances by George Osborne ahead of next year’s general election. So what can we expect?
“Mr. Osborne surprised many people with the changes to pensions announced at the Budget followed by his commitment to scrapping the so-called ‘death tax’. I think we will hear more about these measures and how they will be implemented and he may reduce the tax due on annuity payments to widows and widowers, as reported in the Financial Times. The direction of travel is towards simplifying pensions and we welcome that.
“We have seen excellent moves already this year to make ISAs more attractive. I am not expecting any more giveaways here and I certainly hope there are no backward steps on ISAs.
“There will undoubtedly be more from the Chancellor on the Government’s moves to crack down on personal and corporate tax-avoidance and I predict that he will tighten up rules on capital gains tax where UK properties owned by foreign nationals.
“George Osborne loves an inheritance tax announcement although I expect that any changes to IHT will be technical simplifications and will not apply to the £325,000 threshold.
“Over the last few days, the Chancellor has announced investment into our roads infrastructure and extra spending on the NHS so I am not expecting many major new announcements on Wednesday. The devil is always in the detail and look out for predictions on how the economy is likely to perform in 2015.”