Call us
01242 697821

Blogs

Keep up to date with the latest news and our guides on all things mortgages. 

Let’s go through one of the biggest tax-raising Budgets in history.

With the new government underway, our current Chancellor Rachel Reeves announced the 2024 Autumn Budget set to increase taxes by £40 billion—we haven’t seen one this big for over twenty years! There is a lot to discuss.

Contact us for a detailed and personalised guide on how these changes will affect you. 

Fundamentally, the Budget aims to focus on ‘national renewal’ with a boost to public investment by over £100 billion over the next five years across roads, rail, schools and hospitals. 

But what does this mean for you and your pocket? Let’s dive in: 

  • The Stamp Duty Land surcharge is set to rise on second homes, buy-to-let residential properties and companies purchasing residential property. From 2% to 5% from 31st October 2024. 
  • £5 billion investment confirmed to help build 1.5 million new homes. Including £3.1billion in increases to the Affordable Homes Programme. Over 2000 new homes are set to be built at sites across the country - like Liverpool Central Docks. 
  • There will be an increase in Capital Gains Tax. The lower rate of CGT will rise from 10% to 18%, and the higher rate from 20% to 24%. These new rates will match the residential property rates, which are not changing. While rates on carried interest are 32%. However, Private Residence Relief sees main residential properties as exempt from Capital Gains Tax.
  • Social housing providers are allowed to increase rents above inflation under multi-year settlement. While discounts for social housing tenants buying their property under the Right to Buy scheme are to be reduced.
  • Income tax band thresholds are set to rise in line with inflation after 2028, preventing more people from entering higher bands as wages rise.

For wages, benefits and pensions.

The legal minimum wage for over-21s is to rise from £11.44 to £12.21 per hour starting in April. It is worth £1400/year for a full-time worker. Basic and new state pension payments will increase by 4.1% next year due to the "triple lock", more than working-age benefits. 

The Budget also announced that companies will pay National Insurance at 15% on salaries above £5,000 from April. The employment allowance - which allows smaller companies to reduce their NI liability - will increase from £5,000 to £10,500. The main rate of corporation tax, paid by businesses on taxable profits over £250,000, is to stay at 25% until the next election. 

Meanwhile, in travel...

A 5p cut in fuel duty on petrol and diesel from the previous government will continue until April 2026. But we’ll see a £2 cap on single bus fares rise to £3 from January. Air Passenger Duty will go up in 2026. By £2 for short-haul economy flights and £12 for long-haul ones. And in an encouragement to shift to electric cars, the Vehicle Excise Duty is set to double in the first year. 

Other factors in the Budget include:

  • Tax on non-draught alcoholic drinks to increase in line with inflation, but tax on draught drinks cut by 1.7%
  • Extra £500m next year to repair potholes in England
  • Day-to-day spending on NHS and education in England is to rise by 4.7% this year before smaller rises next year
  • Defence spending to rise by £2.9bn next year
  • Chancellor Reeves announced a £22.6bn increase in the "day-to-day health budget" for the NHS

The Biggest Question on Our Minds: Will the Mortgage Rates Fall? 

While no one can predict this, the rates on new, fixed deals have been dropping recently. According to independent forecasters at the Office for Budget Responsibility, the bank rate is expected to keep dropping. But considering the recent Budget news, some say interest rates won’t fall as far and fast as they had previously predicted.

Now is a great time to lock in a new rate. Contact us for more information.

SPEAK TO AN ADVISER

Think carefully about securing other debts against your home. Your home or property may be repossessed if you do not keep up repayments on your mortgage or any other debts secured on it. A fee may be charged for mortgage advice. The exact amount will depend on your circumstances.

 

Related

Equity Release: Why the Mortgage Market Is Changing, and What It Means for You

Equity Release: Why the Mortgage Market Is Changing, and What It Means for You

For most of the last century, the mortgage journey followed a fairly predictable path. You bought yo...

Read More >
Does Your Home & Contents Insurance Hold Up When You Are On Holiday?

Does Your Home & Contents Insurance Hold Up When You Are On Holiday?

The holiday season is almost here. While you're busy booking flights and planning days out, ther...

Read More >
Don’t Let Probate Eat into Your Family's Inheritance

Don’t Let Probate Eat into Your Family's Inheritance

Nobody likes thinking about what happens when they're gone. But if you have a life insurance pol...

Read More >
What Do the Current Rates Mean For You?

What Do the Current Rates Mean For You?

With so much happening in the world right now, it can be hard to know what it all means for your mor...

Read More >
The Great British Affordability Divide: Where Can First-Time Buyers Actually Afford to Buy?

The Great British Affordability Divide: Where Can First-Time Buyers Actually Afford to Buy?

If you've ever dreamed of owning a home but felt priced out of the market, new data from Nationw...

Read More >
Can You Use Later Life Lending To Turn Your Garden Into A Summer Oasis?

Can You Use Later Life Lending To Turn Your Garden Into A Summer Oasis?

Summer is just around the corner, and we are looking forward to Pimm’s in the garden. A couple of c...

Read More >

What our clients say...

Stay Informed: Mortgage Tips & Trends

Could Private Medical Insurance Be the Workplace Benefit Your Team Actually Needs?

With NHS waits still running into months, more workers are asking their employers a simple question:...
Read More

A Squirrel. Taxis. And a £10 Million Budget. The Government's Plan to Get Britain Investing

Yes, this is real. Bear with me. The government has launched a financial education campaign. Which, ...
Read More

Equity Release: Why the Mortgage Market Is Changing, and What It Means for You

For most of the last century, the mortgage journey followed a fairly predictable path. You bought yo...
Read More

Does Your Home & Contents Insurance Hold Up When You Are On Holiday?

The holiday season is almost here. While you're busy booking flights and planning days out, there's ...
Read More

Don’t Let Probate Eat into Your Family's Inheritance

Nobody likes thinking about what happens when they're gone. But if you have a life insurance policy ...
Read More

What Do the Current Rates Mean For You?

With so much happening in the world right now, it can be hard to know what it all means for your mor...
Read More

The Great British Affordability Divide: Where Can First-Time Buyers Actually Afford to Buy?

If you've ever dreamed of owning a home but felt priced out of the market, new data from Nationwide ...
Read More

Let’s Get Your Protection Up-To-Date

We’ve rounded up our insights on the top reasons to update your critical illness cover, income prot...
Read More

Is Your Home Insurance Ready For Summer?

We might be using summer as a helpful prompt to get you organised, because really, all of these poli...
Read More

Can You Use Later Life Lending To Turn Your Garden Into A Summer Oasis?

Summer is just around the corner, and we are looking forward to Pimm’s in the garden. A couple of c...
Read More


Fairview Financial Ltd is an appointed representative of The Right Mortgage Limited, which is authorised and regulated by the Financial Conduct Authority. Fairview Financial Ltd is registered in England and Wales no: 10912424. Registered office: 107 Promenade, Cheltenham, GL50 1NW.

The guidance and/or advice contained within this website is subject to the UK regulatory regime and is therefore targeted at consumers based in the UK.

@ 2020 by Fairview Financial

Our Fees        

A fee may be charged for mortgage advice. The exact amount will depend on your circumstances.

Our standard fee for mortgages is £395 and this is paid when the mortgage is offered. We charge a fee of £295 First-Time Buyers. Other fees may apply depending on the complexity of the work involved or loan amount. The maximum fee we can charge is £795.

Our standard fee for Equity Release is £895 and this is paid on completion.

We also receive a commission from the lender that will vary depending on the lender, product or other permissible factors. The nature of any commission model will be confirmed to you before you proceed. If we receive a commission, this will not affect the cost payable by you.

THINK CAREFULLY ABOUT SECURING OTHER DEBTS AGAINST YOUR HOME.

YOUR HOME OR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE OR ANY OTHER DEBTS SECURED ON IT.

BUY TO LET MORTGAGES ARE NOT REGULATED BY THE FINANCIAL CONDUCT AUTHORITY.

EQUITY RELEASE: THIS IS A LIFETIME MORTGAGE. TO UNDERSTAND THE FEATURES AND RISKS, PLEASE ASK FOR A PERSONALISED ILLUSTRATION. CHECK THAT THIS MORTGAGE WILL MEET YOUR NEEDS IF YOU WANT TO MOVE OR SELL YOUR HOME OR YOU WANT YOUR FAMILY TO INHERIT IT. IF YOU ARE IN ANY DOUBT, SEEK INDEPENDENT ADVICE.


  • Back to top