Some Requests from the Autumn Budget
The Association of Accounting Technicians (AAT) has called on Philip Hammond to address 3 key areas in his forthcoming autumn budget:
1) Individual Savings Account (ISA)
Initially created to simplify and create accessible savings for all, there are now a multitude of different ISAs including Junior, Help to Buy, Stocks and Shares and Cash ISAs. The result is consumer confusion. The AAT argues that the introduction of more ISAs is creating unnecessary complexity and that the original objectives of ISAs are not being met. For example, stocks and shares ISAs were aimed at encouraging those without shares to invest in the stockmarket, however, they are almost exclusively used by consumer investors who would buy shares anyway. Three actions are being requested:
- Review the objectives of each type of ISA
- Don’t create any new types of ISA
- Consider reducing the amount available to a maximum of 2 simple types of ISA.
2) Stamp Duty
With current stamp duty being targeted on residential property buyers, mobility is dissuaded which impacts employment and productivity. Raising £11bn in public revenue per annum, this is an important tax, however, a refocusing of it is required to reduce the burden on homeowners seeking to move and to first-time buyers.
The AAT is asking for:
- Stamp Duty to be switched to residential property sellers, instead of buyers
3) Apprenticeship Levy
The UK’s skill requirements are more than just apprenticeships. The government needs to recognise that different needs of all its sectors and industries.
The AAT requests that the government
- Promotes all required skills, by renaming the Apprenticeship Levy the Skills Levy, and accordingly levy monies on high quality traineeships in a wider field of training to benefit the UK.