There’s news for savers, families and more in today’s announcements by the government. For how the budget could affect you, take a look at our round up.
For savers under 40
From April 2017, a new Lifetime ISA will be introduced for savers between 18 and 40 years old. For every £4 saved before you turn 50, the government will give a £1 bonus. The bonus can be used towards your retirement or first home.
Anyone with a Help to Buy ISA will be able to roll it into one of these.
If you sell online or occasionally rent your spare room
Micro entrepreneurs selling online will be able to earn £1,000 before any tax is due from April 2017. Another £1,000 allowance will be introduced for people who temporarily rent out their home or other property as part of the “sharing economy”.
If you want to start saving
Help to Save, a new government-backed savings scheme, will offer Universal Credit and Working Tax Credit recipients a 50% bonus at the end of two years if they save up to £50 a month.
If you have an ISA
From April 2017 the ISA limit will rise to £20,000 for everyone, increasing the amount of money that can be saved tax-free each year.
If you shop online
A loophole that lets companies selling online not pay VAT will be removed, meaning prices could rise.
If you buy sugary drinks
A new levy will be introduced in 2018 on sugar content in soft drinks, meaning companies that don’t reduce the levels of sugar could pass the price on to shoppers.
If you have children at school
By 2020, every primary and secondary school in England will be in the process of becoming an academy. Maths will also be taught to the age of 18 for all pupils.
The money raised by the sugar levy will be used to fund schools. The funding for primary school sports will be doubled and longer school days for 25% of secondary schools will also be funded from April 2017. This will be voluntary for all schools but compulsory for pupils within schools that sign up.
If you buy new insurance policies
Insurance Premium Tax will increase by 0.5% to pay for flood defences. This will make some policies, including car, pet and home, more expensive.
If you earn more than £11,000 a year
The personal allowance level will rise to £11,500 in April 2017. This is the amount everyone can earn before they begin paying income tax.
If you earn more than £43,000 a year
Meanwhile the higher rate income tax threshold will rise to £45,000 in April 2017. This is the level before you pay 40% in tax.
If you’re self-employed
Class 2 National Insurance contributions will be axed for self-employed people from 2018.
If you sell something of value
Capital Gains Tax is to be cut from 28% to 20% for higher-rate taxpayers, and from 18% to just 10% for basic-rate taxpayers.
Capital Gains Tax is a tax on the gain you make when you sell something that has gone up in value.
If you smoke or drink
Tobacco will go up by 2% above inflation, while rolling tobacco will go up by an additional 5% from 6pm on 16 March.
Beers, most cider and spirits will not go up, but wines and high strength cider will rise by inflation.
If you drive
Fuel duty will be frozen for the sixth year in a row, potentially saving the average driver £75 a year.
If you travel to and from Wales
The toll for using the Severn Bridge will be halved to £3.30 for cars, £6.60 for vans and £9.90 for lorries from 2018. This is only charged for journeys from England into Wales.
This article is provided by the Money Advice Service.