HLAS

Some employers find it necessary to pay their employees earlier than usual in December. This can happen for various reasons, such as businesses closing over the festive period and needing to process payments ahead of time. As in previous years, HMRC has confirmed a relaxation of the RTI (Real Time Information) reporting requirements for such situations. If you do make an early payment during the Christmas period, it is essential to report your employees’ usual or contractual payment date on the Full Payment Submission (FPS). For example, if you pay employees on 20 December but their normal payment date is [...]

HMRC have developed an app that can help people prepare for their retirement.  Individuals can use the app to check their State Pension Forecast, allowing them to: see their State Pension age; view their forecast State Pension amounts based on potential contributions; and view how much their State Pension would currently be worth, based on National Insurance contributions to date. The app can also be used to check National Insurance contribution (NIC) years, and view any gaps in your record, including how many weeks you have paid and how much you need to pay for it to become a full [...]

The current tax rules incentivise farmers and other business owners to retain their businesses until death, allowing the assets to pass to the next generation at market (probate) value for capital gains tax (CGT). This results in a tax-free uplift of the business’s value, and when combined with 100% APR and BPR, it represents the most tax-efficient strategy. However, as people live longer, the next generation often inherits the business in their late 50s or early 60s, when they are already nearing retirement themselves. There is a compelling argument that this dynamic stifles growth in the family business economy. If [...]

The announcement in the Autumn Budget regarding restrictions to inheritance tax (IHT) agricultural and business property relief from April 2026 has caused significant concern among farming businesses, prompting a demonstration in London on 19th November. From 6 April 2026, it is proposed that 100% relief will only apply to the first £1 million of combined agricultural and business property, with relief reducing to 50% on any value exceeding £1 million. This change is aimed at focusing the relief on small family farms and businesses. However, with prime agricultural land prices currently exceeding £10,000 per acre and the cost of a [...]

The government has now published the legislation to deliver the business rates changes announced in the recent Budget. These reforms, set to take effect from the 2026/27 tax year, are designed to create a more balanced system, with notable benefits for smaller retail, hospitality, and leisure (RHL) businesses. Here’s what you need to know and how it might affect your business. Relief for retail, hospitality, and leisure  Businesses in the RHL sectors with properties valued below £500,000 will benefit from “two permanently lower business rates multipliers”. This means a reduced tax bill for smaller high-street businesses, which could free up [...]

New arrangements will apply to business to business (B2B) parcels sent from Great Britain to Northern Ireland under the Windsor Framework, effective from 31 March 2025. The changes were originally due to come into effect from 30 September 2024, but this was delayed to March next year. Businesses will need to make sure they are prepared for these changes, which include distinct processes for business-to-business (B2B) and business-to-consumer (B2C) shipments. What are the key changes?  For B2B Parcels, information must be submitted via the Customs Declaration Service (CDS). Your parcel carrier will handle this but may ask you to provide [...]

The UK Government has launched a consultation to tackle so-called “subscription traps,” aiming to make it easier for consumers to cancel unwanted subscriptions and secure refunds. These proposals are designed to simplify cancellation processes and improve transparency, potentially saving UK families up to £1.6 billion annually. The problem: Trapped in subscriptions  “Subscription traps” occur when consumers are misled into signing up for subscriptions, often via free trials or introductory offers, only to find themselves locked into costly plans due to unclear terms or complex cancellation procedures. New figures reveal that nearly 10 million of the UK’s 155 million active subscriptions [...]

UK Export Finance (UKEF), the UK’s export credit agency, has launched a new initiative aimed at helping British engineering, design, and technical services firms secure international contracts. The Early Project Services Guarantee (EPSG) is designed to make UK expertise more attractive to overseas buyers while filling a key financing gap for the early stages of major projects. How the EPSG works  The EPSG provides overseas buyers of UK services with access to private finance by guaranteeing payments to lenders. This assurance makes it easier for international buyers to choose UK firms for essential scoping and design work in the planning [...]

The latest inflation figures from the Office for National Statistics (ONS) reveal that the Consumer Prices Index (CPI) for October 2024 rose to 2.3%, up from 1.7% in September. This marks the first increase in inflation since July, and it has sparked interest among business owners, economists, and policymakers alike. The rise in inflation was widely anticipated, and as a result the Bank of England have already signalled that any future cuts to the base rate will happen gradually. However, the latest CPI figures make it unlikely that the Bank will reduce rates any further when they meet in December. [...]

Following the Bank of England’s decision to reduce the base rate from 5% to 4.75%, HM Revenue and Customs (HMRC) have announced a reduction in their late payment interest rates. HMRC interest rates track the base rate. Late payment interest (payable if you pay tax late) is set at base rate plus 2.5%. Repayment interest (which HMRC pay you on refunds or overpayments) is set at base rate minus 1%, with a minimum rate of 0.5%. Therefore, the late payment interest rate will reduce to 7.25%. Repayment interest will reduce to 3.75%. The reductions come into effect from the following [...]