Promising not to increase taxes for ‘working people’, Chancellor Rachel Reeves today unveiled increases to capital gains tax and employer’s national insurance but unfroze the personal tax thresholds from 2028 in a Budget aimed at repairing the public finances.

Below are details of some of the key announcements from today’s budget:

• Taxation and Business: £40bn in tax rises overall, with capital gains tax increasing to 18% at the lower rate and 24% at the higher rate. Non-dom tax status will be abolished from April 2025, replaced by a residence-based regime. Corporation tax remains unchanged, while business rates reliefs for retail, hospitality, and leisure will offer 40% relief.

•  National Insurance: Employers’ NI contributions will rise by 1.2 percentage points to 15%, with the threshold for employer contributions lowered from £9,100 to £5,000. Employment Allowance increases to £10,500.

•  Income and Support for Households: The National Minimum Wage will rise to £12.21 per hour from April, with a phased increase towards a single adult rate. Carers’ Allowance will also increase to reflect 16 hours of weekly earnings at the minimum wage.

• Capital Gains and Inheritance: Inheritance tax thresholds will be frozen until 2030, and stamp duty on second homes will rise to 5%. A 40% relief on business rates will apply to eligible sectors, while VAT will be added to private school fees starting in January.

• Environmental and Health-Related Levies: A new vaping duty will be introduced from 2026, and Air Passenger Duty will rise by 50% for private jets.

• Fuel duty is frozen, but tobacco and alcohol duty rates will increase, with draught duty cut to reduce the cost of pints.

• Social Support: The Household Support Fund will receive £1bn in new funding from next year, while £1.8bn has been allocated to Post Office scandal victims, and £11.8bn to those affected by the infected blood scandal.