What do with think will be in Labour’s budget?

[tenpairsofshoes]

They don’t seem to be giving much away but any indication that they might help kickstart the economy or are we just going to get £2 bus fares, £45 off our elec bill a year and petrol prices on google map? None of Labour polices seem to help anyone that is really struggling but isn’t in receipt of UC! I’m speaking as a single mother who is trying to sell a property to move on with my life but can’t. Yes I know I’ve very fortunate to have bricks and mortar but that doesn’t mean I’m loaded (because the property isn’t worth much)! I feel like everyone is expecting the chancellor pull a rabbit out of a hat but I think we’ll all be very disappointed/pissed off!

@Badbadbunny

Why is it always "someone else" who has to create the job?

What's wrong with people starting their own businesses/self employment?

You have answered those comments by yourself with:

Lets encourage them by support, grants, training, making it easier, rather than burdening them with more bureaucracy, red tape, regulations, taxes, etc?

Grants, training, reduced bureaucracy, red tape, regulations, taxes are things which are mostly set by government. So, if they were made simpler and cheaper by the government, it would be beneficial to those who wish to start their own business or try self-employment. i.e. government would be helping to create jobs,

@EEexpat do you mean pretend our staff are self employed?

Sorry, I went to the supermarket when the Chancellor sat down, so I haven't read a summary of the measures in the Budget. My thought was that there was nothing huge in it, but some warm words about encouraging entrepreneurs and giving some money to defence-heavy cities (I live near Plymouth) to build capability for youth training, but the numbers all sounded relatively modest.

£100 for homes in bands A - D has apparently crashed council websites.

I responded to a comment on gratitude and then your comment re billionaires.

The budget was just setting us up for an election I suspect.

It helps, but I think many are living from day to day with little or no disposable income.

But a cautious person with little disposable income could put a bit away at a time to afford a ticket to a live game or a games console as a family Christmas or birthday present, new or second-hand or even gifted these things. With a console, once it was paid for/ owned, it just to be looked. People made do with one or two games, and that was fine.

Now, scrimping and saving to buy the item doesn’t necessarily mean you can afford to keep using it until it breaks. There can be an ongoing bill, month after month until you cancel and forfeit your right to use said item or severely restrict you being able to receive it as gift. And it shows how deep the problem is that people on middle incomes cannot/ are losing their ability to routinely afford these things either.

Reducing people’s ability to own things outright is bad for independence and financial stability, whether you are on a lower income, where rolling costs will likely be the most damaging, or a middle income.

@WhitegreeNcandle

do you mean pretend our staff are self employed?

No. Working through an umbrella company results in tax and NIC deductions at source in the same as PAYE. But you are a direct employee of the client/company you are allocated to.

Contracts are usually drawn up for a period of one year with option to extend. Notice periods are usually 30 days. No entitlement to redundancy.

@NorthXNorthWest

and then your comment re billionaires.

I did not make any comment on billionaires.

Sorry, your comment on luxury good!

@EEexpat interrsting. I hadn’t ever come across that before. I suspect asking our just over NMW staff to set up an umbrella company is possibly a bit of an ask though. Think our business experience might be on a slightly different level to yours!

Anyone fortunate to live in a band A-D property and therefore be the beneficiary of 100 quid! (I know, right?), stick it on Burnham calling an early election.

Because the more I think about it, this was a budget for precisely that. Nailed on.

And you don’t need Martin Lewis to tell you this….

@WhitegreeNcandle

Limited companies and inside IR35 are intended for specific projects with defined timeframe. They are not intended for staff who have already been PAYE for several years.

The IR35 scheme was to prevent existing staff moving into Limited Companies so they could claim expenses and pay themselves in dividends which can be lower than PAYE taxes and NIC

Have you heard of IR35 and do you know how much the umbrella companies charge? It's not as easy as it used to be.

@Badbadbunny

IR35 has been around since April 2000.

Umbrella companies charge for their services. Advantages are:

They manage the invoicing.
Pay on agreed date even if they haven’t received payment themselves.

HMRC is closing in on Limited companies. So, don’t present the same benefits as before.

We've been looking at a flat for our dotage, and it's in band C, but the asking price is £650k. Proof that the council tax bands are somewhat adrift?

Isn't outside IR35, if you can get it, the preferred position?

650k band C, Where is that?

It's clearly based on a very out-of-date rating! In a small west Midlands city.

@NorthXNorthWest

Isn't outside IR35, if you can get it, the preferred position?

It’s down to the client to decide if the position is within IR35. The project I am allocated to at present is funded by UK government. So, it’s within IR35, but with travel expenses paid which is like outside IR35.

Previously, I was outside IR35 invoicing through my own limited company.

Advantage is that you can pay yourself dividends which has lower taxes and zero NIC. Also you can choose to retain profits for a rainy day between contracts.

Disadvantages are corporate taxes will apply. Also, you take the risk of invoices being paid late, or not all, which can result in overdraft fees.

Yes, since 2000 but rules were changed more recently to drag more people into it. First the beefed up rules were applied to public sector "employers" and a few years later, they were beefed up for private sector too! The contractor market is now a mere fraction of what it used to be.

@Badbadbunny

The last time I worked through my limited company in the UK was 2024. IR35 didn’t come into play as the client was French and the project was in Uganda and financed by Ugandan government.

HMRC have an IR35 check on their website. The key to being outside of IR35 is the wording of your contract.

Not much good for mrs miggins who’d like a part timer to help in her cafe!

Maybe the part timer could work maximum 16 hours per week. I remember that was the threshold before tax credits were reduced?