With this week’s Budget, there was a sense of a government far behind the polls, looking to win back its disaffected supporters. Did it succeed? Well, the jury is still out, but there does not seem to be too much confidence and the polls did not shift.
The two per cent cut in national insurance for employees following on from a previous change, did not instantly impress the voters of Shropshire as the Shropshire Star found out on Budget afternoon.
The Chancellor Jeremy Hunt has now identified a long term goal of abolishing the tax altogether as reported by the Times but then he admitted to Sky News that it wouldn’t happen any time soon.
The big issue which the Independent seized on is whether an income tax cut might have been better amid threshold freezes that means the income tax burden is still increasing.
Among other things, a great deal of social media comment have focused on what NI funds, whether there’s a pool of money to fund pensions (er sort of but not really) and what it means in terms of the state pension.
IFA Magazine considers the implications of abolishing NI for the state pension, a very timely piece of analysis.
The other main measure, certainly of relevance to financial services professionals was the idea of a British ISA.
The new individual savings account, with an allowance of £5,000, will be introduced after a consultation on its implementation. The allowance would be in addition to the £20,000 that can be subscribed into an ISA.
Morningstar relates mixed reviews. Nucleus’s Andrew Tully asks whether the British ISA will see the light of day?
AJ Bell chief executive Michael Summersgill say it is doomed to fail.
In other views, Money Means CEO Helena Wardle discusses the huge flaw in the FCA’s simplified advice proposals in the New Model Adviser podcast.
The government has confirmed that ESG ratings providers will be regulated as FTAdviser reports.
Financial advisers are “significantly” underperforming the expectations of their female clients, Schroders has found and as Professional Adviser reports. It is surely something that needs addressed.
