Information for musicians following the Autumn Statement
The Chancellor of the Exchequer, Jeremy Hunt MP, has delivered his Autumn statement to the House of Commons. The Chancellor opened his statement by saying the government were delivering ‘a plan to tackle the cost-of-living crisis and rebuild our economy’ with three priorities: stability, growth and public services.
ISM members and the wider music sector will be directly impacted by the decisions which have been announced, many of which undo the decisions made by the previous Chancellor.
Once again, the statement did not provide targeted support for the music industry but did include some additional funding for education.
Headlines at a glance:
- The income tax personal allowance and main National Insurance threshold are frozen for a further two years, until April 2028
- The threshold for the 45% additional rate of income tax has been lowered to £125,140 instead of £150,000
- The UK National Living Wage and National Minimum Wage will rise from 1 April 2023
- Local Authorities are being given flexibility to increase council tax, including the adult social care precept where applicable
- Support for eligible retail, hospitality, and leisure businesses is being extended and increased from 50% to 75% business rates relief up to £110,000 per business in 2023-24
- The core schools budget will increase by £2.3 billion in 2023-24 and a further £2.3 billion in 2024-25
- The government will adjust the Energy Price Guarantee so that a typical household will pay £3,000 per year (up from the current £2,500 per year) from April 2023 to the end of March 2024
NB The decision not to repeal IR35 was made by the new Chancellor on 17 October.