News

UK Government Budget Announcement

As members will be fully aware, today (27th October) the Chancellor of the Exchequer, Rishi Sunak, delivered the latest budget announcement to UK Parliament. Key highlights impacting the tourism industry include:

  • A 50% cut in Air Passenger Duty for flights between airports in England, Scotland, Wales and Northern Ireland, which will be delivered via a new domestic band
  • A new rate of Air Passenger Duty of £91 on flights of 5,500 miles or more.
  • A new one year 50% discount on business rates for retail, hospitality and leisure sectors in England – Please note, this does not apply in Scotland, though it will be very interesting to see how the Scottish Government responds to this move from Westminster.
  • Temporarily increasing the headline rates of tax relief for theatres, museums, orchestras and galleries across the UK from 27 October 2021 to 31 March 2024, increasing the relief organisations can claim as they invest in new productions and exhibitions.
  • The National Living Wage will be increased by 6.6% to £9.50 an hour. 

Mr Sunak also announced the largest block grant for devolved administrations since 1998 in the Budget, with an increase in Scottish Government funding in each year by an average of £4.6 billion.

Further details of the Budget announcement can be found at this link.