Amongst the headline measures announced for SMEs and sole traders in today’s Budget were the following:
- Firms to pay National Insurance on workers’ earnings above £5,000 from April, down from £9,100 currently, with the rate increasing from 13.8% to 15%. Employment allowance – which allows companies to reduce their NI liability – to increase from £5,000 to £10,500
- Minimum wage for over-21s to rise from £11.44 to £12.21 per hour from April. For 18-20 year olds, increase is from £8.60 to £10 per hour
- Apprentice pay will rise from £6.40 to £7.55 per hour
- Business Rates: Freeze on the small business multiplier for 2025-26
- Business Rates: 40% relief for Retail, Hospitality and Leisure (RHL) sectors from 1 April 2025
There were also announcements on various business support programmes, including:
- Over £1 billion across 2024-25 and 2025-26 for the British Business Bank to enhance access to finance for small businesses, including over £250 million each year for small business loans programmes, including Start Up Loans and the Growth Guarantee Scheme.
- Commitment to funding for Growth Hubs and the Help to Grow: Management programme in 2025/26.
- Continuing the UK Shared Prosperity Fund at a reduced level for a further year, providing £900 million; this transitional arrangement will allow local authorities to invest in local growth, in advance of wider funding reforms.
You can read the full supporting information for the Autumn Budget 2024 here
