New UK budget brings unexpected tax shake-up that affects millions
Fresh budget announcement introduces major changes to inheritance rules and employer costs. The new tax plan targets pension inheritance wealth holders and property owners while giving some relief to low-income workers
Rachel Reeves latest budget plan shows big tax system changes that nobody saw coming. The fresh tax rules (which will bring £40bn extra money) target pension savings and property owners; its a big shift in how UK manages its money
Here are the people who will get better deals:
- Low-paid workers get £12.21 per-hour from next spring
- Care-workers can earn more while keeping benefits
- Old-age pensioners see 4% boost in payments
- Beer-drinkers save money on draft pints
The hard-hitting changes affect many groups — pension inheritance gets taxed from 2027‚ and business costs go up with employer NI jumping to 15% (thats a 1.2% rise). Farm-owners face new rules too: those with over £1m in assets must pay 20% death-tax instead of zero
Investment-related taxes are going up big-time — share profits now face 18% basic-rate and 24% higher-rate charges. Property owners dont escape either: second-home stamp duty rises by 2% starting right now. The changes make buy-to-let less worth it
Workers face frozen tax limits until 2028; which means more people will pay higher rates as their wages go up. Social housing tenants see reduced buying discounts‚ and smokers face 10% more tax on rolling tobacco. Non-traditional tax residents (non-doms) lose their special status next April
