Need to know
Bounceback Budget builds bridges but long-term worries remain
- Article
- 03 Mar 2021
4 March 2021: ICAEW has welcomed the short-term support announced by the Chancellor but warns that more long-term help will be needed as the impact of COVID-19 may be with us into the next decade.
Long-term vision for public finances unclear in a Spring Budget focused on recovery
- Article
- 03 Mar 2021
4 March 2021: The UK economy is set to be 3% smaller than expected before the pandemic, with public sector net debt forecast to peak at 110% of GDP in 2024.
A candid Budget, bristling with incentives
- Article
- 03 Mar 2021
With the end of the pandemic hopefully near, the Chancellor clearly set out the fiscal damage to the UK economy and that the road to recovery will be a long one. Frank Haskew, Head of the Tax Faculty, shares his thoughts on a Budget that aims to rebuild the economy.
Budget puts short-term business concerns to rest
- Article
- 03 Mar 2021
4 March 2021: Business fears about a sudden end to support and across-the-board tax rises were largely unfounded, but businesses stand to lose out in the longer-term.
ICAEW analysis of key annoucements
Budget documents confirm new penalty and interest regime
- Article
- 09 Mar 2021
On 3 March the government confirmed it will reform the penalty and interest regimes for VAT and income tax self assessment (ITSA). The measures will bring significant changes and will first apply to VAT returns from April 2022 before being extended to ITSA returns.
SEISS grants four and five confirmed in Budget
- Article
- 09 Mar 2021
The criteria for the fourth and fifth SEISS grants will include 2019/20 self assessment tax return data and widen the scheme to hundreds of thousands more taxpayers, but close it to others. Ahead of legislation and HMRC guidance ICAEW’s Tax Faculty explains what we know so far.
Tax Faculty analysis of Spring Budget 2021
- Helpsheets and support
- 05 Mar 2021
ICAEW's Tax Faculty provides a summary of the announcements on tax and related matters in the 2021 Budget on 3 March, covering: business tax, COVID support, duties, employment taxes, environment taxes, international taxes, MTD, personal tax, property tax, tax compliance and VAT.
Budget green measures: expectations versus reality
- Article
- 04 Mar 2021
5 March 2021: Expectations were riding high for a Budget that delivered on the ‘build back better’ promise. But despite several promising initiatives, when it came to substantive green measures it was found wanting.
Chart of the week: Spring Budget cutting the current deficit
- Article
- 04 Mar 2021
5 March 2021: The Budget provides the basis for this week’s chart, which illustrates government plans to achieve a current budget surplus to meet a new fiscal rule that hasn’t yet been formally announced but was hinted at.
Green savings: an opportunity to clean up?
- Article
- 04 Mar 2021
5 March 2021: For those wanting to green their personal finances, this Budget offers new ways to put your money to work for the benefit of the planet. ICAEW’s Philippa Kelly highlights what savers and investors might want to look out for.
Sunak launches £100m COVID fraudster taskforce
- Article
- 03 Mar 2021
4 March 2021: Chancellor Rishi Sunak has unveiled a new fraud taskforce to clamp down on criminals who exploit the government’s COVID support schemes.
COVID-19 financial support extended beyond lockdown
- Article
- 03 Mar 2021
The government’s coronavirus support schemes will be extended beyond the timetable for opening up the economy, to help recovery. ICAEW’s Tax Faculty highlights the main Budget announcements.
Tax Day announcements
Tax Day announcements take a long-term view
- Article
- 23 Mar 2021
Examining how the UK’s tax system is administered, when taxes should be paid, simplification opportunities and the benefits of digitalisation, form the heart of the HM Treasury’s ‘Tax Day’ announcements, but more detail is awaited in many areas.
Earlier tax payments may be coming in the next parliament
- Article
- 23 Mar 2021
HMRC is seeking views on bringing the payment of income tax and corporation tax closer to the point when the income arises. Any changes will be controversial but will not be made within this parliament. ICAEW’s Tax Faculty wants to hear from members.
Tax Administration Framework Review is ‘mammoth’ undertaking by HMRC
- Article
- 23 Mar 2021
ICAEW commends the government and HMRC for seeking to modernise the administrative framework underpinning the tax system, but will HMRC have the resources to do it properly and how radical might any changes be? ICAEW’s Tax Faculty explains the call for evidence and seeks the views of members.
HMRC consults on mandating PII for tax advisers
- Article
- 24 Mar 2021
As part of its work to raise standards in the tax advice market, HMRC is seeking views on its proposal to require tax advisers hold professional indemnity insurance and on a potential enforcement regime.
More detail on notification of uncertain tax treatment
- Article
- 24 Mar 2021
HMRC has published a second consultation on developing rules for large businesses to report uncertain tax positions, as it continues to work with stakeholders on how to resolve tax disputes quickly.
Transfer pricing documentation requirements to be made more robust
- Article
- 24 Mar 2021
Tougher requirements for transfer pricing documentation will better focus compliance interventions and bring more alignment with international approaches, according to HMRC. ICAEW’s Tax Faculty outlines a new consultation on updating rules.
Did Tax Day deliver on sustainability?
- Article
- 24 Mar 2021
Using the tax system to support the UK’s commitment to reduce its environmental impact is not as simple as it seems. ICAEW’s Tax Faculty outlines two new consultations on taxes that aim to reduce carbon emissions.
Webinars on Budget 2021
Tax Faculty webinar
- Webinar
- 05 Mar 2021
In this free webinar on 5 March, the Tax Faculty team will be reflecting on the tax related announcements made by Rishi Sunak in the Budget 2021.
The 2021 Budget explained
- Webinar
- 24 Mar 2021
Rebecca Benneyworth MBE, west of England member and award-winning tax lecturer, will give an update about key announcements. This free event is aimed at sole practitioners and small firms, though anyone is welcome to join.
Essentials Virtual CPD 2021
- Event
- 27 Apr 2021
This session, part of ICAEW's virtual CPD event offering, will provide an update on the tax content of Budget 2021. The session will be designed for members in practice and business.
Tax Talk with Rebecca Benneyworth and ICAEW Tax Faculty
- Webinar
- 12 May 2021
Be part of the conversation with Rebecca Benneyworth and ICAEW Tax Faculty, as they discuss current events, noteworthy developments in tax and give you the opportunity to pose questions
Economic context
Chart of the week: an unsustainable path
- Article
- 25 Feb 2021
26 February 2021: The Chancellor needs to build a bridge to economic recovery in his first Budget on Wednesday, focusing on jobs, exports and investment. But with the OBR’s official projections showing public debt to be on an unsustainable path, what vision will he set out for the public finances in the long-term?
At a crossroads: recovery and infrastructure
- Article
- 23 Feb 2021
24 February 2021: Economies across the world are at a crossroads. ICAEW President David Matthews outlines the scale of the challenges we now face and comments on the investment that will support recovery and change.
No public sector finance surplus in January as pandemic spending rises
- Article
- 19 Feb 2021
22 February 2021: The UK reported an £8.8bn fiscal deficit in January, bringing the total shortfall over ten months to £270.6bn. Public sector net debt is up by £316.4bn and now exceeds £2.11tn.
Business pulse check: Informing the 2021 UK Budget
- Report
- 18 Feb 2021
- PDF (772kb)
Ahead of the 2021 Budget, ICAEW members believe that the Chancellor should avoid major tax changes, encourage job creation, help SMEs to keep exporting, accelerate digital infrastructure rollout and soften the business rates cliff edge to help businesses cope with the continued challenges of the pandemic, while positioning the country for recovery in the longer term.
UK Business Confidence Monitor: National
- Report
- 04 Nov 2020
The latest national Business Confidence Monitor (BCM) for Q3 2024 shows a slight drop in sentiment. However, confidence remains high as businesses continue to expect sales and profits growth to improve significantly in the year ahead.
Budget 2021: accountants want job creation and export support
- Article
- 12 Feb 2021
15 February 2021: Ahead of Budget 2021, three-quarters of chartered accountants have said they do not want to see major changes, according to new research from ICAEW. Instead, members have called for more focus on creating jobs and supporting trade relationships.
Chart of the week: Japan Budget 2021-22
- Article
- 04 Feb 2021
5 February 2021: This week's chart focuses on the Japanese economy as it seeks to return to relative fiscal normality in the year commencing 1 April 2021, following multiple supplementary budgets in its current financial year.
ICAEW letters to the government
ICAEW's letter to the Chancellor ahead of Budget 2021
- Representation
- 17 Feb 2021
- PDF (114kb)
Ahead of the Budget on 3 March ICAEW's Chief Executive, Michael Izza, has written to the Chancellor outlining three policy areas that ICAEW would like to see addressed. It calls for action to boost job creation, help SMEs to export and accelerate digital infrastructure rollout.
ICAEW REP 08/21 Budget spring 2021
- Representation
- 18 Jan 2021
- PDF (139kb)
A response dated 14 January 2021 to the Treasury in advance of Spring Budget 2021.