Your business guide to the 2021 Autumn Budget - What were the key measures announced?
On 27 October, the Chancellor set out the 2021 Autumn Budget outlining a series of measures to support businesses and help the economy recover from the COVID-19 pandemic. We've summarised the key points you need to know.
Business funding
Support Schemes
The scheme will be extended until 30 June 2022. However, from 1 January 2022, the scheme will change and:
- It will only be open to small and medium sized enterprises (SMEs)
- The maximum amount of finance available will be £2 million per business (instead of the current £10 million)
- The government guarantee to lenders will be reduced from 80% to 70%
Tax
Business Rates
The government will:
- freeze the business rates multiplier for a second year, from 1 April 2022 until 31 March 2023
- introduce a new temporary business rates discount for eligible retail, hospitality and leisure properties in England for 2022-23. Eligible properties will receive 50% relief, up to a maximum of £110,000.
- introduce a 100% improvement relief for business rates. This means that from 2023, every single business will be able to make property improvements – and, for 12 months, pay no extra business rates.
- introduce from 1 April 2023 until 31 March 2035 targeted business rate exemptions for eligible plant and machinery used in onsite renewable energy generation and storage, and a 100% relief for eligible heat networks, to support the decarbonisation of non-domestic buildings
- extend transitional relief for SMEs, and the supporting small business scheme, for 1 year. This will restrict bill increases to 15% for small properties (up to a rateable value of £20,000 or £28,000 in Greater London) and 25% for medium properties (up to a rateable value of £100,000), subject to subsidy control limits
To view the Chancellor's full speech in the House of Commons, see here