Weekly News:
- Spring Budget Unveiled This Week
- VAT Threshold Raised in the UK
- Non-dom Tax Exemption Abolished
- Property Prices Rise for the Fifth Consecutive Month
Spring Budget Unveiled This Week
Chancellor announced the UK Spring Budget on March 6, adjusting several tax policies.
This budget release is seen as a crucial step in shaping the future of the UK economy, drawing widespread attention and discussion.
Key changes focus on National Insurance cuts, freezing fuel duty, and raising the VAT registration threshold.
For specific details, check our previous article.
VAT Threshold Raised in the UK
Starting April, the UK VAT registration threshold will increase from £85,000 to £90,000.
With the UK moving towards full-cost recovery, this is expected to attract more major European economies.
The first threshold increase in 7 years will also encourage more businesses to invest in the UK.
Simultaneously, this change will help alleviate operational pressures for small businesses.
Non-dom Tax Exemption Abolished
From April 2025, all non-domiciled residents (‘Non-doms’) will be required to pay taxes on their earnings outside the UK.
This policy announcement will completely end the special benefits for non-doms living in the UK.
Henceforth, all new arrivals in the UK will need to pay the same taxes as local residents after residing for more than 4 years.
This move could generate an additional £2.7 billion for the UK’s fiscal expenditures.
Property Prices Rise for the Fifth Consecutive Month
The UK has been experiencing a continuous upward trend in property prices.
After the fifth consecutive month of increases, the average selling price for a typical house is £290,000.
Halifax House Price Index shows that prices are approximately £1,000 higher than January and £4,894 higher than the same period last year.
