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Budget 2010: in brief

The Chancellor’s last Budget before the election contained few surprises, either good or bad. Below is a summary of the announcements.

  • Stamp duty scrapped for homes below £250,000 for first-time buyers

  • Stamp duty on residential property sales over £1m to increase to 5%

  • 3p fuel duty rise to be phased in between April and January 2011

  • Winter fuel allowance rates extended for further year

  • £2bn investment bank to back low-carbon industries

  • Economy contracted 6% during the recession

  • Predicted growth of 1-1.25% in 2010, in line with forecasts

  • Downgrades growth forecast for 2011 to 3-3.5%

  • Borrowing this year forecast to be £167bn – £11bn lower than expected

  • Borrowing to fall from £163bn in 2010-11 to £74bn by 2014-15

  • £2.5bn support for small business to boost skills and innovation

  • One year business rate cut from October to help 500,000 companies

  • Investment allowance for small firms doubled to £100,000

  • Doubling relief on capital gains tax for entrepreneurs

  • No change to capital gains tax rates

  • £385m to maintain road network

  • One-off bank bonus tax has raised £2bn, double the amount forecast

  • Basic bank account guaranteed for a million extra people

  • RBS and Lloyds Bank Group to provide £94bn in small business loans

  • New service to adjudicate credit disputes

  • Six month work or training guarantee for under 24s extended to 2012

  • Amount of time over-65s have to work to receive work credits reduced

  • Tax allowances for those earning over £100,000 gradually removed

  • No changes to VAT or income tax planned

  • Inheritance tax threshold frozen for four years

  • Clampdown on tax avoidance to raise £500m

  • On track to achieve £11bn efficiency savings target

  • Reform of housing benefit to save £250m

  • Duty on cider to rise by 10% above inflation from Sunday

  • Wine, beer and spirit duty up 2% a year until 2013

  • Tobacco duty up 1% this year and 2% a year in future years
  • About Fiona Russell-Horne

    Fiona Russell-Horne
    Group Managing Editor across the BMJ portfolio.

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