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Britains Labour administration has rolled out a new budget, surprising many with tax increases. Aimed at shrinking the national debt and bolstering public services, this budget reflects the government's response to projected sluggish economic growth ahead. Tax hikes will target both workers and businesses, with some of the adjustments coming into play in the later parliamentary sessions.

Britain will reduce average annual energy bills by PS150 by shifting costs from energy consumers to general taxation. This includes scrapping the Energy Company Obligation scheme for home improvements in April 2026 and moving 75% of the Renewables Obligation costs to general taxation. These measures aim to counter a projected increase in the energy price cap.

Britain will soon introduce a new annual tax on homes valued above 2 million pounds. This surcharge will begin in April 2028. Owners of properties exceeding 2 million pounds will face this recurring charge. The tax will range from 2,500 pounds to 7,500 pounds based on property value. These values will be adjusted annually for inflation.