Emergency Budget update by Chris Hall

Beware the stroke of midnight! From last night Capital Gains Tax will increase for higher rate tax payers to 28%, but lower rate tax payers will still pay 18%. The annual exemption remains at £10,100. However Entrepreneurs' relief has been extended to the first £5 million of gains.

As predicted in the Royds tweet in May, VAT has been increased to 20% from 4th January.

Income tax stays the same except for an increase in the personal allowance to £7,475 from April 6th 2011.

Corporation tax is reduced from 28% by 1% per year from April 2011 over the next four years.

Stamp duty remains the same with the retention of the planned increase to 5% on property sales over £1 million.

Inheritance tax remains at 40% above the current allowance of £325,000, which is frozen until 2014-15.

Finally, you can still drink cider to celebrate or commiserate England’s performance, as the planned increase in cider duty on 30th June will not go ahead!