Key points from the Autumn Statement 2023

Published: 23/11/2023 By Hannah Duncan

The Chancellor gave his Autumn Statement on 22nd November 2023,  below are the key takeaways you need to know:

  • Employee National Insurance reduced by 2% - the new rate which will take effect from 6th January will be 10%, down from 12%

  • Cut of the Class 2 National Insurance contributions for Self Employed - from April self-employed earning more than £12,570 will no longer need to pay the weekly £3.45 Class 2 NICs

  • Class 4 National Insurance contributions reduced – from April a 1% reduction on Class 4NICs paid on profits between £12,570 and £50,270

  • National Living wage increase – from April the new rate will increase from £10.42 to £11.44 an hour, this has also been extended to anyone over the age of 21 years old 

  • State Pension increase – from April the state pension will see an increase of 8.5%

  • Universal credit increase – from April there will be a 6.7% rise to those receiving universal credit

  • Full expensing tax break made permanent – businesses can continue to deduct machinery and equipment costs from profits

  • Hospitality, leisure and retail discount extended – the 75% business rate discount for these industries will remain in place for another year

  • New flexibility for ISA’s – updated rules to allow more choice for savers including fractional investing