Partners Wealth Management Autumn Statement 2022

5 17 November 2022 l AUTUMN STATEMENT Inheritance tax The nil rate band for 2026/27 to 2027/28 will remain at £325,000, which was the level first set for 2009/10. The residence nil rate band (RNRB) will likewise stay at £175,000 and the RNRB taper will continue to apply where the value of the deceased’s estate is greater than £2 million. Stamp duty land tax (SDLT) The SDLT cuts affecting residential property in England and Northern Ireland, which were introduced in the ‘mini-Budget’ on 23 September 2022, will be reversed from 1 April 2025. Enveloped dwellings (ATED) The annual chargeable amounts for the ATED will be increased by 10.1% for 2023/24. Company cars and vans The benefit-in-kind (BIK) appropriate percentages for electric and ultra-low emission cars will increase by one percentage point each year from 2025/26 to 2027/28 up to a maximum appropriate percentage of 5% for electric cars and 21% for ultra-low emission cars. The BIK rates for all other vehicle bands will be increased by one percentage point for 2025/26 up to a maximum appropriate percentage of 37% and will then be fixed in 2026/27 and 2027/28. For 2023/24 car and van fuel benefit charges and the van benefit charge will increase in line with CPI. Electric vehicles Electric cars and vans will become subject to vehicle excise duty (road tax) from 1 April 2025. Fuel duty While no comment was made on fuel duty by the Chancellor in the statement, the OBR did flag up that if the temporary 5p a litre reduction for 2022/23 is not rolled over into 2023/24 and, for once, automatic fuel duty indexation is allowed to take effect, then there will be a total duty rise of around 12p a litre.

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