HMRC Tax Take Reaches Record £939bn
HMRC has confirmed that total UK tax receipts reached £938.8 billion in the 2024 to 2025 tax year, marking a 9.3% increase on the previous year. The figures, published in HMRC’s annual bulletin, reflect a combination of rising incomes, higher asset values and policy decisions, including the continued freeze on tax thresholds and recent changes […]
Supreme Court Tightens Capital Allowances Rules
A recent Supreme Court decision has clarified the limits of what businesses can claim as capital allowances, narrowing the scope for pre-construction and preparatory costs. The case, Orsted West of Duddon Sands (UK) Ltd v HMRC, concerned major offshore wind farm developers, but the principles apply far more widely. For SMEs investing in equipment, infrastructure […]
New Tax Year, New Rules & Rates 2026/2027
The new UK tax year has begun with few headline changes, but the underlying tax position continues to shift. Frozen thresholds and reduced allowances are increasing exposure for many taxpayers, while further reforms already under discussion could have a significant impact from April 2027. 2026/27 UK Tax Year Overview The 2026/27 UK tax […]
End of Working from Home Tax Relief
Since 6 April 2026, around 300,000 people working from home have lost access to tax relief on unreimbursed household expenses, following changes announced in last year’s Autumn Budget. The change removes a long‑standing income tax relief for employees who incur additional household costs – such as heating, electricity and business phone calls – as part […]
HMRC Assist Launched Ahead of MTD April 2026
HMRC has introduced a new submission feedback feature as part of the rollout of Making Tax Digital for Income Tax, which comes into force from April 2026 for sole traders and landlords with income over £50,000. The tool, known as HMRC Assist, is designed to prompt taxpayers to review potential discrepancies before filing, using data […]
Late Payment Crackdown: Changes to Law Announced
The UK Government has confirmed plans to tighten late payment laws following its “Time to pay up” consultation, with reforms aimed squarely at improving cash flow across supply chains. Late payment remains a major issue for small and medium sized businesses, with government estimates putting the cost to the UK economy at £11 billion a […]
860,000 Sole Traders & Landlords Urged to Prepare for MTD Rules from April 2026
HM Revenue & Customs (HMRC) has issued a warning that more than 860,000 sole traders and landlords will be brought within the scope of Making Tax Digital (MTD) for Income Tax from 6 April 2026. The reforms are part of the government’s wider programme to modernise the UK tax system, and will affect how many […]
Finance Act 2026 Receives Royal Assent
The Finance (No. 2) Bill 2025 to 2026 received Royal Assent on 18 March 2026, becoming the Finance Act 2026. The Act gives legal effect to a range of measures announced at the Autumn Budget 2025 and introduces changes affecting tax compliance, business investment and inheritance tax planning. Not all measures are taking immediate effect, […]
Trusts Now Required to Register Before CGT Property Reporting
HMRC guidance now indicates that trusts need to be registered with the Trust Registration Service (TRS) before they can report UK property disposals for capital gains tax (CGT). The position affects access to the CGT on UK property reporting system and applies even where a trust would not usually be required to register. Updated […]
New £3,000 Grant for Employers to Hire Young People
The UK Government has announced a package of measures aimed at decreasing youth unemployment, including new financial incentives for employers who recruit young people on Universal Credit who have been out of work for a sustained period. The proposals focus on individuals aged 18 to 24 who are receiving benefits and have been seeking employment […]
HMRC Consults on Corporation Tax Changes
HMRC has launched a consultation on plans to modernise and standardise the way companies prepare and submit corporation tax returns, as a further step in the UK’s move towards a fully digital, data-driven tax system. The proposals focus on introducing a prescribed format for tax computations and requiring amendments to be submitted online, with the […]
Preparing for 5 April Tax Year End: Practical Steps
The end of the UK tax year on 5 April marks the end of the tax year for determining when income, gains and reliefs are treated as arising. For individuals, business owners and investors, it represents the key deadline for reviewing their position before annual allowances reset and certain planning opportunities are no longer available […]
HMRC Tax Relief Speculation for Returning Expats
Reports in the national press have suggested that HM Revenue & Customs may consider tax relief for British nationals returning to the UK from the Middle East due to escalating regional tensions. The reports, including coverage in The Telegraph, indicate that officials may examine whether tax liabilities should be eased for individuals forced to leave […]
Capital Allowance Changes in April 2026
Businesses planning investment in equipment or machinery in 2026 face several tax changes taking effect at the start of the new tax year, this April. Adjustments to the capital allowance regime will alter how quickly companies obtain tax relief for plant and machinery expenditure. The government has introduced a new 40% First-Year Allowance (FYA) for […]
Small Employers’ SMP Recovery Increase from April 2026
Small businesses will be able to recover slightly more of the cost of Statutory Maternity Pay (SMP) from April 2026 under new regulations introduced by the government. The Social Security and Statutory Maternity Pay (Evidence of Pregnancy and Compensation of Employers) (Amendment) Regulations 2026 (SI 2026/201) increase the Small Employers’ Relief compensation rate from 108.5% […]
New Skilled Worker Visa Salary Calculation Rule
The UK government has introduced new payroll rules for the Skilled Worker visa route from 8 April 2026. From that date, the Home Office can assess salary compliance by examining how sponsored workers are paid across defined pay periods, rather than relying primarily on the annual salary recorded on the Certificate of Sponsorship. Historically, immigration […]
Higher VAT Threshold Continues to Distort Small Business Growth
The UK VAT registration threshold has again come under scrutiny following fresh analysis of HMRC administrative data showing a growing concentration of small businesses operating just below the registration limit. The current threshold requires businesses to register for VAT once their taxable turnover exceeds £90,000 within a rolling 12 month period. Crossing that point brings […]
UK Inheritance Tax Receipts Hit £7.1bn in 2025/26
The latest HMRC data shows inheritance tax receipts of £7.1 billion in the first ten months of the 2025 to 2026 tax year. Annual totals have risen consistently in recent years and continue to reach record levels. Inheritance tax is charged at 40% on the value of an estate above the available nil-rate bands. The […]
UK Posts Record £30.4 Billion Budget Surplus
The UK recorded a £30.4 billion budget surplus in January 2026, the largest monthly surplus since comparable records began in 1993. The outturn exceeded the Office for Budget Responsibility’s forecast and reflects stronger-than-expected tax receipts at the start of the calendar year. Why January’s Surplus Was So High January is traditionally a high-revenue […]
Employment Rights Act Changes from 18 Feb 2026
From 18 February 2026, the first set of reforms under the Employment Rights Act 2025 took effect. The initial changes focus on industrial action and collective dispute procedures. While the statutory framework for ballots and notice remains in place, the reforms adjust how easily industrial action can proceed and extend protections for employees who participate […]