Page 66 • The HERALD • 3rd October 2024 v THE HERALD - Proud to be part of your community v ASK A PROFESSIONAL Autumn Budget Statement 2024 – What Could it Mean for Your Finances? by Michael Osman, Oyster Financial Planning On the 30th October the new Chancellor Rachel Reeves will deliver her rst Autumn Budget Statement. Her rst budget will outline the government’s economic strategy, giving an insight to their plans to grow the economy. ere has already been so much speculation, and we have had quite a few enquiries from new clients and existing clients wondering what the ‘speculation’ means. Almost from day one the Chancellor has said there is a big hole in the nation’s nances and action will need to be taken. is statement and message of course feeds the speculation, what could be impacted, they have said there will be no changes to Income Tax or National Insurance which then leads everyone to think what areas will be targeted. Already you have the planned removal of the Winter Fuel payment for most pensioners. On this matter and most clients, I have spoken to who would be a ected are actually of the same view, they don’t actually need it and as long as the money saved is used positively for those more in need then that decision was understandable and acceptable. ere is speculation regarding pensions, from lifetime allowance to state pensions and the ‘triple lock’, reducing tax-relief even speculation on the reduction or removal of the right for someone who has saved into a pension for their retirement to access 25% as a tax-free lump sum. ese potential and mooted changes have caused a lot of worry and concern for lots of clients. ere is then Inheritance Tax (IHT) and how people’s estates will possibly be taxed on death. e previous administration introduced the Residents Nil Rate Band to re ect the fact that house prices were growing, and more and more people were being caught by this tax on the assets you leave behind when you pass away. Likewise Capital Gains Tax (CGT) has also had quite a lot of speculation regarding aligning the tax rates to those of income tax. We have certainly had conversations with clients worried especially regarding pensions, IHT and CGT. It’s certainly a di cult job to second guess what will happen and what decisions people could make to protect themselves. We have suggested we review clients Financial Plans and once new rules are introduced, they can then see the impact of the changes and how it a ects them nancially. It would seem to make sense that the decisions made will likely follow through for the 5 years Labour initially will be in power for which as a positive at least will allow people to plan their nances knowing the general direction they are taking. Michael Osman, Oyster Financial Planning If you would like to have a discussion regarding your own situation especially once any changes are made Oyster would be more than happy to help. Email: Michael@oyster nancialplanning.co.uk or call: 023 8084 8410 or pop in and book an appointment.
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