View more on these topics

Autumn Statement 2012: A new bank tax and growth forecasts cut

Budget group shot 2012 480
Osborne and his Treasury team before this year’s Budget

Chancellor George Osborne will deliver his Autumn Statement today with the Office for Budget Responsibility set to cut growth forecasts and a raid on pension tax relief likely.

The Financial Times reports Osborne’s austerity measures are now likely to last another year, into 2018, while the OBR will revise down the 2012 growth forecast from 0.8 per cent to nearly zero and the 2013 forecast from 2 per cent to 1 per cent. The newspaper reports a planned 3p in the litre rise in fuel costs, due to be introduced in January, will be delayed.

The Times reports Osborne will raise fresh taxes on the banks alongside a reduction in the international aid budget. It reports the Government will push ahead with its controversial shares-for-rights scheme, despite heavy criticism of the plans when they were announced earlier this year.

The Telegraph reports George Osborne is to order £5bn in civil service cuts and spend the savings on building projects over the next two years. These will include new schools, roads and other infrastructure. It reports that Osborne will also look to reinvigorate the previous Labour government’s private finance initiatives in an attempt to raise money for public projects from businesses.

In the run-up to today’s statement it has been heavily reported that the Chancellor will look to cut the annual allowance for pension tax relief from £50,000 to between £40,000 and £30,000. Some have suggested Osborne could use the statement to reform income drawdown rules. due to concerns about falls in income levels.

Osborne will deliver the statement from 12.30 today, with full coverage of what it means for you and your clients on the Money Marketing website this afternoon.

Newsletter

News and expert analysis straight to your inbox

Sign up

Comments

    Leave a comment

    Close

    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm

    Email: customerservices@moneymarketing.com