BSR Bespoke - 2020 Budget Summary
Posted on March 12, 2020

We have pleasure in attaching our summary of the key announcements in the 2020 Budget.

The newly appointed Chancellor, Rishi Sunak, announced a spirited Budget with a repeated emphasis on ‘getting things done’, echoing the recent election campaign.

Highlights include:

  • The pension annual allowance income thresholds will each be increased by £90,000 from 2020/21 with the higher rate tax relief on pension contributions left unchanged.
  • The employment allowance will increase from £3,000 to £4,000 although there have been some restrictions on eligibility.
  • The tax free personal allowance will remain at £12,500 and the dividend allowance at £2,000 but the NI primary threshold will increase to £9,500.
  • The lifetime limit for entrepreneur’s relief has been cut from £10 million to £1 million with immediate effect.
  • From April 2021, only zero emission vehicles will get 100% first year allowances.  Cars with emissions up to 50g/km will have an 18% a year writing down allowance, restricted to 6% for higher emitters.
  • Several reliefs from business rates were introduced, although some of them temporary.

We trust that you find the enclosed Budget Summary useful and that it is a helpful basis for a discussion with us about your financial future.

Download the 2020 Budget Summary