Business

Rishi Sunak’s key announcements in today’s Budget statement

Published

5 years ago

March 3, 2021

Tom Sinclair

Huge tax hike announced – with corporation tax on company profits rising by 6% to 25% in 2023
Furlough extended until September
Income tax threshold freeze likely to mean working Britons pay more – with tax burden from 2025 highest since 1960s
Universal Credit uplift of £20 extended for six months
Budget to feature plan to extend furlough until September
Business rates, VAT and stamp duty reductions extended
Contactless limit more than doubles
Sunak to give news conference at 5pm – the first of its kind for a budget
Federation of Small Businesses said they were disappointed that there was not enough in the budget for “job creation”.

A HUGE hike in corporation tax is probably the main headline announcement of the budget.

The chancellor said: “This new higher rate won’t take effect until April 2023, well after the point when the OBR expect the economy to have recovered. And even this, because corporation tax is only charged on profits, any struggling businesses will, by definition, be unaffected.

“I’m protecting small businesses with profits of £50,000 or less, by creating a Small Profits Rate, maintained at the current rate of 19%.”

“This means around 70% of companies – 1.4 million businesses – will be completely unaffected.

“And third, we will introduce a taper above £50,000, so that only businesses with profits of £50,000 or greater will be taxed at the full rate of 25″%.”

The Chancellor also said businesses can carry back losses of up to £2m for three years and adds that the bank surcharge will be reviewed so combined rate of tax on UK banking sector doesn’t increase significantly from current level.

This announcement was on top of a raft of other measures, including the previously leaked extension of the furlough scheme, and confirmation that
the Hospitality and tourism will continue to enjoy a 5% reduced rate of VAT for a further six months.

Support for the self-employed will also be extended until the end of September.

“When the scheme was launched, the newly self-employed couldn’t qualify because they hadn’t all filed a 2019-20 tax return,” Rishi Sunak says.

“But as the tax return deadline has now passed, I can announce today that, provided they filed a tax return by midnight last night, over 600,000 more people, many of whom only became self-employed last year can now claim the fourth and fifth grants.”

Commenting on the Budget statement, Welsh Conservative Senedd leader, Andrew RT Davies MS said: “At the start of this pandemic, as Conservatives we said we would do whatever it takes to protect jobs and livelihoods – and today’s budget continues that commitment to families, workers and businesses across Wales.

“After the most difficult year in the history of peacetime Britain, the budget extends the support for Wales to save jobs, invests in industry and business, and provides an extra £740 million of funding to the Welsh Government.

“Labour ministers in Cardiff Bay must now use this additional funding to extend the business support for firms across Wales and deliver a council tax freeze to help keep more money in the pockets of hardworking people.

“Our recovery and future economy depends on remaining as one United Kingdom. Only the Welsh Conservatives – working with, rather than against a Conservative UK Government – can succeed in getting things done to rebuild Wales.”

ADDITIONAL MEASURES

Rishi Sunak confirmed that 95% mortgages will be guaranteed by the government as part of government plans to turn “generation rent into generation buy”.
“I’m pleased to say that several of the country’s largest lenders including Lloyds, NatWest, Santander, Barclays and HSBC will be offering these 95% mortgages from next month, and I know more, including Virgin Money will follow shortly after,” the chancellor says.
“A policy that gives people who can’t afford a big deposit the chance to buy their own home.”

Working Tax Credit claimants will also be given more support for the next six months, with a one-off payment of £500, it has been announced.

A welcome announcement for many families in Wales will be the confirmation that the Universal Credit uplift of £20-a-week will continue for another six months, the chancellor announces

The Chancellor also added that the personal tax thresholds will be frozen.

Hospitality and tourism will continue to enjoy a 5% reduced rate of VAT for a further six months

STAMP DUTY

As part of the spring budget, the Chancellor has just announced that the stamp duty holiday is to be extended, offering a total tax saving on properties costing up to £500,000 and a reduction on homes costing more than that. In addition first-time buyers will have access to government guaranteed mortgages with a deposit of just 5%. Home Insurance Expert at Confused.com Jessica Willock says:
“The new government backed mortgage scheme should give first-time buyers the chance to save on rent payments and take steps onto the property ladder.
“Our research found that more than a quarter (27%) of people said that if they knew of ways to save money when it comes to their homes, they would use them. So, the stamp duty holiday extension can also be seen as an opportunity to give buyers the boost that they need by removing some of the financial pressure attached to a new home.

“But the extension is only temporary, lasting until June 30th. So, whether you’re already in the purchase process or you’re deliberating a move, it’s important to get the ball rolling as the deal must complete by the deadline, otherwise you could face some big bills. If you’re confused about what you may have to pay, use our Stamp Duty Calculator to help you factor in the fees.”
Commenting on the furlough extension, Aude Barral, co-founder of developer recruitment platform CodinGame, said: “There will be a collective sigh of relief from families across the country that the furlough scheme has been extended.

“Millions of people will have been facing the prospect of having little or no income from May, and for the time being that cliff-edge scenario has been avoided. But the problem hasn’t gone away, it’s simply been kicked down the road.

“Furlough is protects salaries, not jobs. Many furloughed workers will still be worried they won’t have a job to go back to when the financial support eventually ends.

“There will be thousands of businesses going to the wall over the coming months and sectors such as hospitality and retail may never fully recover.

“The Government has provided its roadmap out of lockdown, but it’s roadmap out of furlough feels disjointed and a little vague.

“Millions of people are facing unemployment without the transferable skills they need to find a new career.

“There wasn’t enough in the Chancellor’s speech to address the digital skills gap, for my liking. Digital upskilling should be at the forefront of the Government’s plans to unlock the country’s full potential, as that’s where demand is going to be post-pandemic, in a fast changing digital landscape.

“Businesses need to be continually updating their workers’ digital skills to remain competitive, and individuals need the help and support to identify the transferable skills they have and develop new skills to stand the best chance of finding a new job or career.

“We live in a world where new technologies play an increasingly important role in all aspects of business, and demand for digitally skilled employees is only going in one direction.”

Business

First wind turbine components arrive as LNG project moves ahead

Published

3 hours ago

December 4, 2025

Tom Sinclair

THE FIRST ship carrying major components for Dragon LNG’s new onshore wind turbines docked at Pembroke Port yesterday afternoon, marking the start of physical deliveries for the multi-million-pound renewable energy project.

The Maltese-registered general cargo vessel Peak Bergen berthed at Pembroke Dock shortly after 4pm on Wednesday, bringing tower sections and other heavy components for the three Enercon turbines that will eventually stand on land adjacent to the existing gas terminal at Waterston.

A second vessel, the Irish-flagged Wilson Flex IV, is due to arrive in the early hours of this morning (Thursday) carrying the giant rotor blades.

The deliveries follow a successful trial convoy on 25 November, when police-escorted low-loader trailers carried dummy loads along the planned route from the port through Pembroke, past Waterloo roundabout and up the A477 to the Dragon LNG site.

Dragon LNG’s Community and Social Performance Officer, Lynette Round, confirmed the latest movements in emails to the Herald.

“The Peak Bergen arrived yesterday with the first components,” she said. “We are expecting another delivery tomorrow (Thursday) onboard the Wilson Flex IV. This will be blades and is currently showing an ETA of approximately 03:30.”

The £14.3 million project, approved by Welsh Ministers last year, will see three turbines with a combined capacity of up to 13.5 MW erected on company-owned land next to the LNG terminal. Once operational – expected in late 2026 – they will generate enough electricity to power the entire site, significantly reducing its carbon footprint.

Port of Milford Haven shipping movements showed the Peak Bergen approaching the Haven throughout Wednesday morning before finally tying up at the cargo berth in Pembroke Dock. Cranes began unloading operations yesterday evening.

Weather conditions are currently favourable for this morning’s arrival of the Wilson Flex IV, which was tracking south of the Smalls at midnight.

The abnormal-load convoys carrying the components from the port to Waterston are expected to begin next week, subject to final police and highway approvals.

A community benefit fund linked to the project will provide training opportunities and energy-bill support for residents in nearby Waterston, Llanstadwell and Neyland.

Further updates will be issued by Dragon LNG as the Port of Milford Haven as the delivery programme continues.

Photo: Martin Cavaney

Business

Cardiff Airport announces special Air France flights for Six Nations

Published

7 hours ago

December 4, 2025

Tom Sinclair

Direct services to Paris-Charles de Gaulle launched to cater for Welsh supporters, French fans and couples planning a Valentine’s getaway

CARDIFF AIRPORT and Air France have unveiled a series of special direct flights between Cardiff (CWL) and Paris-Charles de Gaulle (CDG) scheduled for February 2026.

Timed to coincide with two major dates — the Wales v France Six Nations clash on Saturday 15 February and Valentine’s weekend — the flights are designed to offer supporters and holidaymakers an easy link between the two capitals.

For travelling French rugby fans, the services provide a straightforward route into Wales ahead of match day at the Principality Stadium, when Cardiff will once again be transformed by the colour, noise and passion that accompanies one of the tournament’s most eagerly awaited fixtures.

For Welsh passengers, the additional flights offer a seamless escape to Paris for Valentine’s Day, as well as opportunities for short breaks and onward travel via Air France’s wider global network.

Cardiff Airport CEO Jon Bridge said: “We’re thrilled to offer direct flights to such a vibrant and exciting city for Valentine’s weekend. Cardiff Airport is expanding its reach and giving customers fantastic travel options. We’ve listened to passenger demand and are delighted to make this opportunity possible. There is more to come from Cardiff.”

Tickets are already on sale via the Air France website and through travel agents.

Special flight schedule

Paris (CDG) → Cardiff (CWL):

13 February 2026: AF4148 departs 17:00 (arrives 17:30)
14 February 2026: AF4148 departs 14:00 (arrives 14:30)
15 February 2026: AF4148 departs 08:00 (arrives 08:30)
15 February 2026: AF4150 departs 19:40 (arrives 20:10)
16 February 2026: AF4148 departs 08:00 (arrives 08:30)
16 February 2026: AF4150 departs 16:30 (arrives 17:00)

Cardiff (CWL) → Paris (CDG):

13 February 2026: AF4149 departs 18:20 (arrives 20:50)
14 February 2026: AF4149 departs 15:20 (arrives 17:50)
15 February 2026: AF4149 departs 09:20 (arrives 11:50)
15 February 2026: AF4151 departs 21:00 (arrives 23:30)
16 February 2026: AF4149 departs 09:20 (arrives 11:50)
16 February 2026: AF4151 departs 17:50 (arrives 20:20)

Business

Cwm Deri Vineyard Martletwy holiday lets plans deferred

Published

14 hours ago

December 4, 2025

Bruce Sinclair - Local Democracy Reporter

CALLS to convert a former vineyard restaurant in rural Pembrokeshire which had been recommended for refusal has been given a breathing space by planners.

In an application recommended for refusal at the December meeting of Pembrokeshire County Council’s planning committee, Barry Cadogan sought permission for a farm diversification and expansion of an existing holiday operation through the conversion of the redundant former Cwm Deri vineyard production base and restaurant to three holiday lets at Oaklea, Martletwy.

It was recommended for refusal on the grounds of the open countryside location being contrary to planning policy and there was no evidence submitted that the application would not increase foul flows and that nutrient neutrality in the Pembrokeshire Marine SAC would be achieved within this catchment.

An officer report said that, while the scheme was suggested as a form of farm diversification, no detail had been provided in the form of a business case.

Speaking at the meeting, agent Andrew Vaughan-Harries of Hayston Developments & Planning Ltd, after the committee had enjoyed a seasonal break for mince pies, said of the recommendation for refusal: “I’m a bit grumpy over this one; the client has done everything right, he has talked with the authority and it’s not in retrospect but has had a negative report from your officers.”

He said the former Cwm Deri vineyard had been a very successful business, with a shop and a restaurant catering for ‘100 covers’ before it closed two three years ago when the original owner relocated to Carmarthenshire.

He said Mr Cadogan then bought the site, farming over 36 acres and running a small campsite of 20 spaces, but didn’t wish to run a café or a wine shop; arguing the “beautiful kitchen” and facilities would easily convert to holiday let use.

He said a “common sense approach” showed a septic tank that could cope with a restaurant of “100 covers” could cope with three holiday lets, describing the nitrates issue as “a red herring”.

He suggested a deferral for further information to be provided by the applicant, adding: “This is a big, missed opportunity if we just kick this out today, there’s a building sitting there not creating any jobs.”

On the ‘open countryside’ argument, he said that while many viewed Martletwy as “a little bit in the sticks” there was already permission for the campsite, and the restaurant, and the Bluestone holiday park and the Wild Lakes water park were roughly a mile or so away.

He said converting the former restaurant would “be an asset to bring it over to tourism,” adding: “We don’t all want to stay in Tenby or the Ty Hotel in Milford Haven.”

While Cllr Nick Neuman felt the nutrients issue could be overcome, Cllr Michael Williams warned the application was “clearly outside policy,” recommending it be refused.

A counter-proposal, by Cllr Tony Wilcox, called for a site visit before any decision was made, the application returning to a future committee; members voting seven to three in favour of that.