NEWS

Autumn Budget 2020 scrapped

The Treasury has announced the cancellation of the planned Autumn Budget due to the worsening coronavirus infection rates and increased restrictions. In its place the Chancellor Rishi Sunak will unveil a 'winter economy plan'.

Typically, in the Budget the government outlines the state of the country's finances and proposes tax changes. However, the impact of COVID-19 on the economy and the cost of coronavirus job retention scheme (CJRS), business loans and other support has meant the government needs to focus on short term measures to handle the crisis.

After ruling out any extension of furlough payments, which will finish on 31 October, the Chancellor said the winter economy plan is designed to save as many jobs as possible and address fears that the ending of the CJRS will see mass redundancies by employers whose businesses have been forced to close or are only operating at very reduced capacity.

The Budget is expected to delayed until next Spring. This is the second time in a year that a Budget has been delayed after the previous chancellor, Sajid Javid, cancelled the November 2019 budget due to the general election and Brexit issues.

 

24/09/2020