Pre-Budget 2008

The Chancellor's Pre-Budget Report, billed as the most important in a decade, promises temporary tax cuts now, to be paid for by permanent tax rises in later years.

The measures are designed to provide a £20 billion fiscal stimulus and will see the highest ever level of Government debt, estimated to reach £118 billion in 2009/10 in an attempt to restore business and consumer confidence.

In detail

The Chancellor announced a wide range of tax measures designed to facilitate the fiscal stimulus considered necessary to avert the full impact of what the Chancellor recognised was a global recession.
 
Measures were announced that would see short term temporary tax cuts followed by permanent tax increases and the details are set out below:

• Business tax
• Corporation tax
• Environmental tax
• Personal tax
• Property tax
• VAT
• Duty

The Pre- Budget Report also included a number of announcements to combat tax avoidance and make other amendments to the tax system. Details are set out below:

• Anti-avoidance
• Tax system amendments

Take a look at our pre-budget report predictions.