UK markets close in 1 hour 34 minutes
  • FTSE 100

    7,510.56
    +70.82 (+0.95%)
     
  • FTSE 250

    20,165.54
    +114.06 (+0.57%)
     
  • AIM

    921.27
    +0.89 (+0.10%)
     
  • GBP/EUR

    1.1884
    +0.0034 (+0.28%)
     
  • GBP/USD

    1.2126
    +0.0056 (+0.46%)
     
  • BTC-GBP

    19,926.03
    +755.11 (+3.94%)
     
  • CMC Crypto 200

    564.90
    +22.02 (+4.06%)
     
  • S&P 500

    4,184.65
    +39.46 (+0.95%)
     
  • DOW

    33,093.92
    +290.45 (+0.89%)
     
  • CRUDE OIL

    88.58
    -0.43 (-0.48%)
     
  • GOLD FUTURES

    1,799.70
    +8.50 (+0.47%)
     
  • NIKKEI 225

    28,249.24
    +73.37 (+0.26%)
     
  • HANG SENG

    20,045.77
    -156.17 (-0.77%)
     
  • DAX

    13,735.11
    +161.18 (+1.19%)
     
  • CAC 40

    6,560.47
    +88.12 (+1.36%)
     

Budget 2020: Here's everything that you need to know

  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
·Finance and news reporter
·3-min read
In this article:
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
  • Oops!
    Something went wrong.
    Please try again later.
Chancellor Rishi Sunak delivers his Budget in the House of Commons, London.
Chancellor Rishi Sunak delivers his Budget in the House of Commons. (PA Photo/House of Commons)

UK chancellor Rishi Sunak on Wednesday announced his first ever budget, including a £30bn coronavirus spending package, and more than £600bn in infrastructure spending.

The measures, which represent a marked increase in both capital and day-to-day spending, will be financed primarily by a significant increase in government borrowing.

Here are the key announcements made by Sunak in his speech in the House of Commons:

Coronavirus response

  • The government will spend “whatever it takes” on the National Health Service, and announced a £5bn emergency response package

  • Statutory sick pay will be paid to all those who self-isolate, even if they do not have coronavirus symptoms

  • Some £2bn has been set aside to cover up to 14 days of sick pay for employees at businesses with fewer that 250 employees

  • £500m will be provided to local authorities to directly support vulnerable people

  • The abolition of business rates for retail, leisure, and hospitality firms that have a rateable value of less than £51,000

  • A new coronavirus loan scheme will see the government part-guarantee “business interruption” loans of up to £1.2m to small and medium-sized businesses

  • Around 700,000 of the country’s smallest businesses will be eligible for a £3,000 cash grant

Environmental measures

  • Some £800m will be spent on carbon capture technology before 2030

  • A plastic packaging tax will come into force in April 2022

  • £5.2bn will be spent on improving flood defences over the next five years

  • Some £120m in funding will be made immediately available for flood damage repairs

  • The government will spend £500m on new rapid electric car charging hubs

  • Manufacturers and importers will be charged £200 per tonne on products made from less than 30% recyclable material

  • Fuel subsidies for off-road vehicles will be scrapped in two years time, except for famers and rail operators

  • The government will spend £640m on a climate fund to protect the UK’s natural habitats

Taxation, personal spending, and wages

  • The threshold for paying National Insurance contributions will rise from £8,632 to £9,500, which will save workers over £100 per year

  • Duties on spirits, beer, cider, and wine will be frozen

  • VAT charges on books, newspapers, magazines and academic journals will be abolished

  • VAT will also be abolished on female sanitary product, such as tampons

Infrastructure, technology and housing spending

  • Over £600bn will be spend on roads, railway, broadband, and housing by the middle of 2025

  • The government will spend £5bn to expand gigabit rural broadband connectivity

  • The affordable housing programme, which will receive £12bn in extra funding, will be expanded

  • A new pothole fund of £500m per year will allow authorities to fix up to 50 million potholes

  • The government will spend an extra £900m on research into nuclear fusion, space, and electric vehicles

  • The Science Institute in Weybridge will get a £1.4bn funding boost

  • £800m will be spent on a new research agency, which will be modelled on the Advanced Research Projects Agency in America

Read more: What the 2020 Budget means for your finances

Devolved governments

  • Westminster will provide an extra £640m in spending by the Scottish government, £360m for Wales, and £210m for Northern Ireland

Our goal is to create a safe and engaging place for users to connect over interests and passions. In order to improve our community experience, we are temporarily suspending article commenting