In this article, we will explore the exciting world of 2016 United Kingdom budget and all the facets that surround it. From its origins to its relevance today, we will immerse ourselves in an in-depth analysis of this very relevant topic. Through recent research, interviews with experts and concrete examples, we will delve into its different dimensions to understand its impact on society. 2016 United Kingdom budget has been the subject of interest and research over the years, and it is crucial to understand its importance in the current context. From its influence on popular culture to its relevance in the scientific field, we will address all the aspects that make 2016 United Kingdom budget a topic worth exploring in detail. Join us on this journey of discovery and learning!
In the November 2015 Autumn Statement, the independent Office for Budget Responsibility predicted that the UK economy would grow by 2.4% in 2016.
Budget announcements
Osborne will introduce a sugar tax on soft drinks from 2018, raising around half a billion pounds which will be used to fund after-school activities such as sport and art.
The predicted GDP growth for 2016 was lowered to 2% from 2.4%.
The tax-free allowance will be raised to £11,500 and the 40p tax threshold will increase to £45,000.
There will be a new savings account, the Lifetime ISA, for the under-40s, with the government putting in £1 for every £4 saved.
Funding was earmarked for High Speed 3 (an east-west rail line across the North of England), Crossrail 2 (a north-south rail line across London), a road tunnel across the Pennines and upgrades to the M62 motorway.
Public sector employers will be required to contribute a higher proportion to their workers' pensions from 2019–2020.
Tobacco duty was increased by 2%.
Hand rolling tobacco duty was increased by 3%.
Fuel duty frozen at 57.95p per litre.
VAT on tampons was to be cut from 5% to 0%, as soon as EU obligations allowed. (The tax on women's sanitary products was abolished on 1 January 2021, when the transitional Brexit period expired.)
The halving of tolls across both Severn Bridges from 2018.
The Leader of the Opposition, Jeremy Corbyn, described the budget as having "unfairness at its very core", singling out cuts to disability benefits and corporate tax for particular criticism. However, he expressed his approval for the introduction of the sugar levy in his House of Commons response.