Most of the tax cuts initially announced by Kwasi Kwarteng have been reversed by his successor, Jeremy Hunt. We have updated this post to include the up-to-date summary of the measures.
National Insurance rise to be reversed
The 1.25 percentage point NI rise will be scrapped on 6 November, and lower NI rates will remain until the end of the 2022-23 tax year. The previously announced Health and Social Care Levy will also not come into force as a separate tax next year.
Most employees will receive the cut in their November pay. Self-employed people and company directors will pay a blended rate of NI when they submit their annual self-assessment return, taking into account the changes in rates throughout the year.
Stamp duty cut in England and Northern Ireland
The threshold after which the stamp duty should be paid has been doubled to £250,000. For first-time buyers, this has been raised to £425,000, while the value of the property for claiming relief will increase to £625,000 for first-time buyers.
What has changed
Income tax
The basic rate of income tax will remain at 20% “indefinitely”, while the rate of tax for people earning over £150,000 will also stay at 45%.
Corporation tax
The planned corporation tax rise from 19% to 25% will go ahead next year as initially announced by Boris Johnson's government.
Dividend tax
The 1.25 percentage points increase that came in effect in April this year will remain in place.
Energy bills support
The energy price guarantee, which limits average energy bills to £2,500, will now only last until April 2023, and will then be reviewed.
Other measures that will not go ahead
The government will no longer be proceeding with the reversal of off-payroll working IR35 reform, the freeze on alcohol duty rates, or the VAT-free shopping scheme for tourists.
Useful factsheets explaining the measures
Read the Chancellor's statement on the Medium-Term Fiscal Plan