HLAS

Changes to inheritance tax announced in the recent Budget have caused concern among farmers and business owners across the UK. So, what exactly is changing, and what could this mean for you? What are agricultural and business property relief? Agricultural Property Relief (APR) is an inheritance tax relief designed to reduce the amount of tax payable when farmland is passed down to the next generation. Currently, APR has no financial limit, meaning farmland can be inherited without incurring inheritance tax, regardless of its value. Similarly, Business Property Relief (BPR) applies to business assets included in an individual's estate. Like APR, [...]

As widely anticipated, the Bank of England reduced the base interest rate to 4.75% last week, following recent easing of inflationary pressures. The Bank expects inflation to rise slightly over the next year, reaching around 2.75%, before returning to the 2% target thereafter. In their quarterly report, the Bank indicated that they will take a cautious approach, avoiding rapid or excessive rate cuts. Therefore, it seems unlikely there will be another rate reduction when the Bank meets again on 19th December. However, the Bank has stated that "if things evolve as expected, it’s likely that interest rates will continue to [...]

In today’s digitally connected world, social inclusion has extended into virtual spaces, and young people are increasingly exchanging personal information to stay connected with friends and access social media platforms. This trend has raised significant privacy concerns, especially as recent research by the Information Commissioner’s Office (ICO) reveals how critical data handling is for safeguarding children online. The ICO’s Children’s Data Lives research has highlighted the importance of enforcing stronger privacy practices to protect young users who may not fully understand the implications of sharing their data. Data as a form of currency For many children, personal data has become [...]

In a recent court case, a company director from Bury was sentenced to prison for failing to comply with basic accounting and legal responsibilities. Vezubuhle Ndlovu, the former director of VN Electrics Limited, was jailed for 10 months after he failed to provide the required records when his company went into liquidation, leaving over £200,000 in unpaid taxes. This case serves as a stark reminder of the consequences for businesses that do not prioritise accurate accounting, particularly when dealing with financial and tax obligations. Let’s examine why keeping up-to-date records is so important for businesses of all sizes and sectors. [...]

From 26 October 2024, employers were given a new legal duty to take “reasonable steps” to prevent sexual harassment of employees. This duty requires employers to anticipate when sexual harassment may occur and take reasonable steps to prevent it. If sexual harassment has already taken place, then an employer would need to take action to stop it from happening again. It is not possible for an individual to make a claim against their employer for failing to take preventative action. However, if they successfully bring a sexual harassment claim, the employment tribunal will automatically consider whether the employer failed in [...]

Two days before the Budget, the Prime Minister announced that the cap for single bus fares would be increased to £3 from its current £2. The current fare cap is due to expire at the end of 2024. Without intervention, prices for some routes looked set to rise significantly. The new £3 cap will run until the end of 2025. The cap means that no single bus fare on routes that are included in the scheme can exceed £3. Routes where the fare is less than £3 can only increase in line with inflation. For workers that are reliant on [...]

The government has announced the new National Minimum Wage (NMW) rates that will apply from 1 April 2025. These are as follows: The National Living Wage rate paid to those who are aged 21 and over has increased by 6.7%. This is a relatively modest increase in comparison to the last 2 years but is still expected to equal two-thirds of median earnings and in real terms be the highest minimum wage has been in its history in the UK. Baronness Philippa Stroud, Chair of the Low Pay Commission (LPC), appeared to acknowledge the strain the increases in recent years [...]

As has been widely expected in the last few weeks, the Chancellor, Rachel Reeves, made some significant changes to the Employers National Insurance (NI) rate and threshold in the Autumn Budget. From 1 April 2025, the rate for Employers National Insurance (NI) will increase from 13.8% to 15%. At the same time, the level at which employers start paying national insurance on each employee’s salary will be reduced from £9,100 per year to £5,000. The combination of these two changes means a potentially significant increase in payroll costs for businesses. To counteract this, the employment allowance will be increased from [...]

As part of a series of recent announcements by the Chancellor, the government is promoting increased adoption of electronic invoicing (e-invoicing). HM Revenue and Customs (HMRC) will soon open a consultation aimed at encouraging the wider use of e-invoicing, with the goals of simplifying business transactions, reducing administrative burdens, and, in particular, reducing tax return errors to help HMRC ‘close the tax gap.’ While e-invoicing clearly offers advantages for HMRC, it also brings significant benefits for businesses. Benefits of E-invoicing for Businesses: Improved cash flow: E-invoicing speeds up payment processes by automating invoice approvals, helping businesses receive payments more quickly. [...]

As of 1st October, the Employment (Allocation of Tips) Act has come into effect, ensuring that workers retain 100% of the tips, gratuities, and service charges they earn. While many employers already pass tips directly to their staff, this new legislation closes any remaining loopholes to guarantee that all tips reach workers. What Has Changed for Employers? Under the new legislation, employers are legally obligated to pass all tips, gratuities, and service charges directly to staff without any deductions. This means that if a customer leaves a tip—whether in cash or by card—it must be given to the workers. Businesses [...]