Now that the Conservatives have won an overall majority, it is to be expected that they will be able to honour all their manifesto commitments, unencumbered by the need to make compromises to coalition partners. To help keep tabs (and to help guard against political amnesia), readers may find this link to the manifesto helpful.
In summary, though, the promises include
- No rise in any rates of Income Tax, NIC or VAT
- Increasing the threshold for payment of the 40% Income Tax rate to £50,000
- Increasing Personal Allowance to £12,500 and in future increasing it in line with increases in the National Minimum Wage
- Introducing an extra IHT allowance of £175,000 per person available only against the family home, so bringing a couple’s IHT nil rate band up to £1m
- Increasing the “Remittance Basis User Charge” for people domiciled outside the UK
- Reducing tax relief for pension contributions for taxpayers with income over £150,000
- Maintaining the “most competitive business tax regime in the G20”
- Giving employees of “large employers” and the public sector a right to three days per year paid leave for voluntary work
- 200,000 Starter Homes by 2020 (to be available to under 40s, at 20% off market value).