Budget 2021: What does it mean for people in West Yorkshire?
Struggling businesses, the housing market, and taxes are likely to be the focus of the chancellors budget.
The chancellor, Rishi Sunak will set out his plans for the budget today (3rd March).
Some big announcements have already been leaked, including more cash for the Culture Recovery Fund and bringing back 5% deposits on houses.
He's also said to be considering raising corporation tax to 25% from 19%.
Housing:
A mortgage guarantee scheme is set to be announced, which will help people buy houses worth up to £600,000 with a 5% deposit, with the government underwriting the other 95%.
The Chancellor could also extend the stamp duty holiday, which is set to stop at the end of March.
Craig Skelton from C S Mortgage Solutions in Leeds said:
"The biggest problem has been the deposit, I don't think it's been down to stamp duty.
"This is massive for people. It's life changing.
"It's not just limited to first time buyers, it's home movers as well.
"We felt like we were destroying dreams, these people had scarped by to save 5%, then we had to turn them away and ask for 10%."
Tax:
Corporation tax is currently at it's lowest rate, at 19%, it's thought this number will be increased in the chancellors budget.
There are also reports that the chancellor will freeze income tax thresholds.
Emma Rawson from the Association of taxation in Halifax explains what this means:
"If they freeze personal allowance, that's the point of which you start paying income tax, if that were to be frozen for the next few years, if people's salary's go up, they might start paying more tax than they would've before.
"Overall, we aren't expecting to see massive tax rises that will have an immediate impact on people's pockets."
Hospitality:
VAT was cut from 20% to 5% last year, this is due to come back up at the end of the month too. It's not yet clear what will be announced about VAT for the hospitality sector.
Community groups will be given up to £250,000 to take over struggling pubs in West Yorkshire. This is part of a £150m project.
Culture recovery:
£400m will be given to help museums, theatres and galleries reopen.
There will also be a £300m package for sports, with most of it being targeted at cricket.
Furlough:
The Furlough scheme is currently set to end at the end of the April, but we know from the prime ministers roadmap, that most places won't start to re-open until the 12th April.
The furlough scheme is going to be extended until September.
Businesses:
It's been leaked that there will be a £5bn scheme to help shops, pubs, clubs, gyms and hair salons hardest hit by the pandemic, with grants of up to £18,000.
Businesses will also be able to boost their software and training through a £520m scheme.
Universal Credit:
It's been suggested that the £20-a-week temporary increase in universal credit will be extended for six months.
Vaccines:
£1.65bn will be given to the UK's vaccine rollout.