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This week the UK government introduced its new budget, aimed at encouraging economic growth and improving the country’s fiscal balance. However, with £40bn worth of tax increases, many UK stocks could be affected.
Announced on Wednesday, 30 October, the budget includes changes in capital gains tax, inheritance tax, corporation tax for various sectors, and increases in taxes on certain goods.
It’s expected to raise GDP growth by 2% in the coming year. But what does it mean for UK companies?
Breaking down the tax implications
With capital gains tax (CGT) rising from 10% to 18% on the lower rate and 20% to 24% on the higher rate, investors without the benefit of an ISA will feel the pinch.
While corporation tax on large businesses was not increased, there are some changes to taxes affecting certain sectors.
Here are some stocks that could benefit from the…
