On January 7, 2020, UK chancellor Sajid Javid announced that this year's budget will be officially released on March 11, 2020.
This year's budget is significant.
First, it will be Britain's first budget since it leaves the European Union on January 31, 2020.
The conservative government was the first to announce today that it would pass a budget that would invest £100bn to upgrade poor infrastructure and level up post-brexit Britain.
Second, this is also Boris · The first budget since Mr Johnson's victory on November 12th will give us a glimpse of whether the party's previous election promises can be kept.
Moreover, in 2019, due to the unexpected events such as brexit and general election, the UK did not issue its budget for a whole year. The autumn budget originally scheduled for November 2019 was cancelled due to the early election, which means that the 2020 budget still needs to solve many problems left over from history.
That includes taxes on overseas buyers, which many investors care about.
The official confirmation on March 11 also means the UK government will start imposing additional stamp duty on overseas investors as soon as that date.
It also means that investors who plan to buy houses in the near future need to take advantage of the window period of the next two months.
In past cases, as long as overseas investors exchange contracts before the UK government formally enacts the policy, there is no need to pay overseas buyers' tax, even if the house is delivered after March 11, 2020.
Although the budget will not be published for another two months, the government gave some advance warning today.
Here's a quick rundown of what will be important in the first post-brexit budget:
1. End the era of austerity and invest more in health, security and education
According to the BBC, the 2020 budget will follow the advice of last chancellor Philip Hammond. & ndash; An end in all The age of austerity ” : the British government will end fiscal austerity and implement expansionary finance after brexit.
In the future, the British government will increase input in major livelihood issues through expansionary fiscal measures, including
Medical & ndash; Invest £34bn in the national health service, adding 50,000 nurses and 6,000 GPS a year.
Safety & ndash; An additional 20,000 police officers to curb violent attacks and knife crime and to prevent more foreign criminals from entering the UK;
Education & ndash; Set up a £1 billion education fund to raise government funding for every primary and secondary student to £5,000, and raise the starting salary for English teachers to £30,000;
In a statement released on 7 January 2020, javid said: With this budget, we will unleash a great deal of Britain's potential. & ndash; Unite our country and open a new chapter in the next decade. Throughout the &;
2. Invest 100 billion pounds to upgrade Britain's backward infrastructure
The government also gave a preview of the march budget today: £100bn.
Mr Javid said he would use the £100bn to launch an infrastructure revolution in the UK.
According to the financial times, the government will raise net capital spending from 2 per cent of GDP to 3 per cent, freeing up £100bn over the next five years to invest in the UK's infrastructure.
Of this, £80bn will be spent on big infrastructure projects, including the northern powerhouse railway, which links Manchester city and Liverpool, and Britain's much-delayed HS2 line.
Northern Powerhouse Rail linking Manchester city and Liverpool
As you can see, most of the money will go to the backward areas of the north and midlands.
The conservative government says it is doing so in return for their support.
In the general election last December, many Labour voters in the rust belt of north-central England chose to vote conservative for the first time in their lives in an effort to end brexit.
As well as the infrastructure measures, the conservative government has pledged to boost the economic performance of the north and centre in the 2020 budget by raising the minimum wage and setting up vocational training centres.
3. Tax cuts for native britons
In contrast to the government's likely March 11 release of a tax on overseas buyers, javid also said today that he would pass a budget that would cut taxes and pay less for low earners in the UK. The hard worker; Cost of living.
On tax, the conservative government promises to lock it in. Three tax & throughout; In other words, the individual income tax, social security fund and value-added tax will not be raised for 5 years.
The government has also pledged to raise the threshold for National Insurance payments to £12,000 over time.
The tax cut will save 2.4 million people from social security payments and cut 465 pounds per person for 31 million low-income britons.
4. Start the golden decade
In his speech to parliament today, Mr Javid also singled out the budget as the launch of a 10-year economic recovery plan for Britain.
This speech and Boris · Johnson mentioned recently. The golden decade plan ” The same.
Boris Johnson, British prime minister; Johnson made a statement after he won the general election saying he wanted to bring Britain over the next decade. The golden age ” .
Mr. Boris said he clearly wanted more than just one term as prime minister and asked voters to imagine what Britain would look like in a decade.
Boris said: Our mission is to achieve brexit, to unite and renew our Great Britain, to make this the greatest place in the world. Throughout the &;
& other; When I talk about the greatest place in the world, I think some people might accuse me of exaggerating, but imagine the path we could take. By 2050, the UK is very likely to be Europe's greatest and most prosperous economy, at the heart of the new system of trade agreements we have pioneered. Throughout the &; Source: UK investor
