Budget 2024

[terminal7]

North-East Trailblazer Devolution Deal - yippee - added to the Northern Powerhouse - who needs HS2?

T7

[xeny]

The British ISA is on. An extra £5k for British shares, whatever they are.

I'm now wondering which investment trust's portfolio most closely resembles VWRL ?

[Arborbridge]

Any tax cuts will be short lived.
They will be reversed by the next government (likely Labour).

But the Tories have already negated their own tax cuts by using fiscal drag to decrease tax free allowances.


Arb.

[ukmtk]

I'm now wondering which investment trust's portfolio most closely resembles VWRL ?

You could check the Global sector here:
https://www.theaic.co.uk/aic/statistics/aic-sectors

[Lootman]

"Hunt claims the UK is on track to become the world’s next Silicon Valley."

Ha, good one!

[BullDog]

"Hunt claims the UK is on track to become the world’s next Silicon Valley."

Ha, good one!

[hiriskpaul]

The UK ISA sounds interesting. Has anyone seen more details, restrictions, etc?

[mike]

The UK ISA sounds interesting. Has anyone seen more details, restrictions, etc?

I think details will appear here during the day. Only brief (and press release type) details at present

https://www.gov.uk/search/news-and-communications?topical_events%5B%5D=spring-budget-2024


Edit

Details are here, but no real information at present "The government will consult on the details"

https://assets.publishing.service.gov.uk/media/65e8578eb559930011ade2cb/E03057752_HMT_Spring_Budget_Mar_24_Web_Accessible__2_.pdf (will open pdf)

Other details https://www.gov.uk/government/publications/spring-budget-2024

4.31 The UK ISA will support savers and open up UK retail investment opportunities
for individuals. The UK ISA will be a £5,000 allowance in addition to the existing ISA
allowance and will be a new tax-free product for people to invest in UK-focused
assets. The government will consult on the details.

5.107 UK ISA – The government will create an additional Individual Savings Account
(ISA) with a £5,000 allowance. This would be in addition to the £20,000 that can be
subscribed into an ISA. The government will consult on the details.

[hiriskpaul]

The UK ISA sounds interesting. Has anyone seen more details, restrictions, etc?

I think details will appear here during the day. Only brief (and press release type) details at present

https://www.gov.uk/search/news-and-communications?topical_events%5B%5D=spring-budget-2024

Found the budget documents here https://www.gov.uk/government/publicati ... udget-2024

[y0rkiebar]

"The UK ISA will support savers and open up UK retail investment opportunities
for individuals. The UK ISA will be a £5,000 allowance in addition to the existing ISA
allowance and will be a new tax-free product for people to invest in UK-focused
assets. The government will consult on the details."

[hiriskpaul]

"The UK ISA will support savers and open up UK retail investment opportunities
for individuals. The UK ISA will be a £5,000 allowance in addition to the existing ISA
allowance and will be a new tax-free product for people to invest in UK-focused
assets. The government will consult on the details."

Yes, I found that. Sounds like they haven't decided how it will work yet.

[XFool]

A trader's slant on the budget:

Take it from a former banker: the budget is for ordinary people. The mega-rich look on and laugh

https://www.theguardian.com/commentisfree/2024/mar/05/banker-budget-mega-rich-traders-jeremy-hunt

Whatever Jeremy Hunt says, traders know the rich will get richer and the poor will get poorer. And they’re paid millions to bet on it

[Lootman]

"The UK ISA will support savers and open up UK retail investment opportunities
for individuals. The UK ISA will be a £5,000 allowance in addition to the existing ISA
allowance and will be a new tax-free product for people to invest in UK-focused
assets. The government will consult on the details."

Yes, I found that. Sounds like they haven't decided how it will work yet.

Agreed, and since it is only a month to the new tax year it would be hard for institutions to offer this by April 6th.

Not sure it is worthwhile for a lousy £5,000 subscription. It would be nice if a onetime-only starter of say a £50,000 subscription was allowed to jump start it.

If it applies strictly only to UK companies and not even ITs then I probably will not bother.

[the0ni0nking]

I'm not sure how they'd be able to manage it other than by forcing providers to have a specific UK S&S ISA which would have restricted product choice to those shares and investments deemed to be classed as UK.

If they just allowed it to be incorporated into existing ISAs then you'd really have no oversight available to police it.

I suspect most people who would be subscribing at their annual limit would end up with people subscribing £20k into a "normal" unrestricted ISA and only putting the £5k into the UK specific one. So fees would likely be an issue at least at the outset until - and assuming - you see some capital growth.

[hiriskpaul]

Yes, I found that. Sounds like they haven't decided how it will work yet.

Agreed, and since it is only a month to the new tax year it would be hard for institutions to offer this by April 6th.

Not sure it is worthwhile for a lousy £5,000 subscription. It would be nice if a onetime-only starter of say a £50,000 subscription was allowed to jump start it.

If it applies strictly only to UK companies and not even ITs then I probably will not bother.

ETFs would be good. Add to the UK ISA, reduce weight in main ISA! Agree 5k not much, but 10k for a couple. Might be able to "borrow" the kids allowances as well...

[Lootman]

Agreed, and since it is only a month to the new tax year it would be hard for institutions to offer this by April 6th.

Not sure it is worthwhile for a lousy £5,000 subscription. It would be nice if a onetime-only starter of say a £50,000 subscription was allowed to jump start it.

If it applies strictly only to UK companies and not even ITs then I probably will not bother.

ETFs would be good. Add to the UK ISA, reduce weight in main ISA! Agree 5k not much, but 10k for a couple. Might be able to "borrow" the kids allowances as well...

My guess is that ETFs would be out. Both because they are not companies like ITs, and also because they have Irish domicile.

[Alaric]

If it applies strictly only to UK companies and not even ITs then I probably will not bother.

They might have to ring fence it to specific OEICs, ITs or ETFs which imposed strict limits on themselves as to what they could invest in. But there aren't details as to how it could work. Quoted on the LSE is another possible definition but would include lots of mostly or exclusively overseas stuff.

[scrumpyjack]

"Hunt claims the UK is on track to become the world’s next Silicon Valley."

Ha, good one!

Rather 'Silly Con' methinks

[Laughton]

In the words of Shania Twain - "That Don't Impress Me Much".

[scrumpyjack]

The consultation on the British ISA goes on until June. I can't see this coming in before the next election so it probably won't happen at all. After all providers will need some time to alter their software and systems to accommodate it.