What is in the Budget 2017? Stamp duty, car tax, cigarettes, housing, NHS, pensions, MORE
Philip Hammond is appealing to the younger generation in his Budget speech in the House of Commons right now.
First-time buyers are celebrating after Mr Hammond abolished stamp duty for those buying homes worth up to £300,000.
In order to get more people on the first rung of the housing ladder, the stamp duty cut is available on the first £300,000 of homes worth £500,000.
The Chancellor said he plans to increase duty on high-strength, low-quality alcohol from 2019 but he is freezing duties on other ciders, wines, spirits and beer.
But smokers are disappointed to learn that tobacco duty is set to continue to rise two per cent more than inflation.
Car drivers are also unhappy about the fact that the Chancellor is increasing tax for diesel cars.
Mr Hammond said: “From April 2018 the first year VED rate for diesel cars that don’t meet the latest standards, will go up by one band.”
The Chancellor is making it possible for driverless cars to hit the road by 2021 as well as investing £100million to help people use electric cars.
He added: “We’ll establish a new £400m charging infrastructure fund, invest an extra £100m in Plug-In-Car Grant, and £40m in charging R&D.”
It is confirmed new discount railcard will be introduced for those aged 26 to 30. It will work in a similar way to the young person’s railcard.
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Mr Hammond said there is “no silver bullet” to solve the housing crisis but unveiled proposals to meet a housebuilding target of 300,000 new homes a year.
Ahead of the Budget, Theresa May announced that from next April graduates will not have to pay back their student loans until they are earning £25,000 a year.
Nurses are hoping that they will be in line for a pay rise amid reports that Mr Hammond is preparing to relax the public sector pay cap from April 2018.
What is in the Budget 2017? Stamp duty, car tax, cigarettes, housing, NHS, pensions, more
Mr Hammond has reduced the waiting time for Universal Credit and is spending more on the NHS.
He is investing an extra £10billion over the course of this Parliament to support the NHS Sustainability and Transformation plans.
He is making an additional commitment of resource funding of £2.8billion to the NHS in England.
There will be very little for those nearly retirement in the Budget. The annual pension allowance and lifetime pension allowance could be cut back.
Teachers are glad to hear that Mr Hammond will boost teacher training in England while also encouraging more students to take maths after the age of 16.
Mr Hammond said: “We’ll introduce a £600 Maths Premium for schools, for every additional pupil who takes A level or Core maths.
“We’ll expand the Teaching for Mastery of Maths programme, to a further 3,000 schools.”
READ MORE: WHAT WILL PHILIP HAMMOND SAY ABOUT PENSIONS?
Mr Hammond said: “Today we invest over £500m in a range of initiatives from artificial intelligence, to 5G and full fibre broadband.”
He is allocating a further £2.3 billion for investment in R&D. He is investigating how the tax system and charges on single-use plastic items can reduce waste.
The Chancellor said from April the National Living Wage will rise 4.4 per cent from £7.50 an hour to £7.83.
With Mrs May’s Cabinet in crisis and Brexit on the horizon, the Chancellor has made clear he will not turn on the spending taps now.
At the weekend he told a newspaper: “We are heavily constrained fiscally. We don’t have huge amounts of room for manoeuvre. But we do have some room.”
The budget will focus on preparing for Brexit and ways to speed up Britain’s slow productivity growth as the UK faces the prospect of reduced access to the EU’s single market.
Mr Hammond will say he is making the UK “fit for the future” as an “outward looking, free-trading nation” after Brexit.
Mr Hammond said: “We have already invested almost £700million in Brexit preparations and today I am setting aside over the next two years a further £3billion.”
WATCH LIVE: HOW TO WATCH THE BUDGET