THE government’s Autumn Budget is expected to be crucial this year as the country emerges from lockdown.
With experts forecasting a grim outlook for the economy after the pandemic, the Treasury will be introducing measures to help restart spending and prevent unemployment.
The next budget will be delivered by Chancellor Rishi Sunak, and is expected to be happen in October this year.
This follows a “mini-budget” which the Chancellor will unveil in the House of Commons on July 8.
It comes after Mr Sunak delivered his first budget as Chancellor on March 11.
Last year, former Chancellor Sajid Javid decided to delay the budget in November as a result of December’s general election.
The Chancellor is set to unveil a host of measures aimed at keeping unemployment down and consumer spending up.
Among the money-saving measures expected to be unveiled is a ‘stamp duty holiday’ – with the threshold reportedly set to raise to rise to £500,000.
Brits could also be treated to a £500 voucher to spend in hard-hit businesses, while kids could enjoy a £250 bonus.
Other measures being discussed include a cut on VAT for pubs and restaurants to help protect jobs in the hard-hit hospitality industry.
Plans are also being discussed for new apprenticeship schemes, whereby companies could be given £1,000 to take on trainees.
Mr Sunak’s last budget in March was the biggest Treasury splurge in 65 years, and came just two weeks before the country entered lockdown.
The Chancellor’s headline policy was the £30billion coronavirus rescue plan.
This included a shake-up of sick pay and huge tax cuts to help business.
Brits will be able to get sick pay if they have to stay at home, and can also get a doctors’ note through NHS111 instead of a GP.
Mr Sunak also announced significant changes to Universal Credit and the benefit system.
The government temporarily suspended Jobcentre visits for those who have to self-isolate due to the COVID-19 outbreak.
From October 2021, those on Universal Credit who take out an advance payment will be able to pay it back over two years.
The maximum amount that can be taken off your benefits to pay it back was also reduced from 30 per cent to 25 per cent.
The Chancellor froze fuel duty for the tenth year in a row.
Mr Sunak cancelled a scheduled 2p-a-litre tax rise at the pumps due earlier in April in a move that pleased motorists.
Pubs were helped with a business rates discount soaring from £1,000 to £5,000.
The Chancellor also confirmed that a planned rise in beer duty was also scrapped.
He said: “Because of decisions I’ve taken elsewhere in the Budget, I am also freezing duties for cider and wine drinkers as well.”
The Autumn Statement was scrapped by Philip Hammond in 2016.
At the recommendation of the Institute for Fiscal Studies (IFS), there is now a Spring Statement instead, with the Budget presented later in the year.
Spring 2017 saw the last Budget to be held at that time of the year.
The government has said that changing the tax system once a year, rather than twice, will lead to greater financial stability.