Small Businesses: Costs

Question

The Budget announces generous tax reforms to support small businesses. Most notably, more than doubling the employment allowance to £10,500; commitments in the Corporate Tax Roadmap to maintain the Small Profits Rate and marginal relief at their current rates and thresholds, as well as maintaining the Annual Investment Allowance; and freezing the small businesses multiplier for 2025/26. In the transition to permanently lower business rates multipliers for Retail, hospitality, and leisure (RHL) businesses, RHL business rates relief will also be extended for 1-year at 40% (up to a cash cap of £110,000 per business).