Reeves accepts a tax-raising budget that will likely hit workers’ wage increases

Phew, that was a lot for an hour. Here are some key things we learned as Chancellor Rachel Reeves presented her first budget:

Social security: Employers’ National Insurance contributions will increase from 13.8% to 15% and the threshold at which they must pay them will fall from £9,100 to £5,000. However, there is some relief for employers in the form of Employment Allowance – which allows companies to reduce their liability for National Insurance – increasing from £5,000 to £10,500

Income tax: Despite predictions that Reeves may continue to freeze income tax brackets beyond 2028-29, she said they would increase in line with inflation thereafter.

Capital gains tax: For higher rate taxpayers, for assets such as shares, the rate will increase from 20% to 24%, for lower rate taxpayers, it will increase from 10% to 18%. For residential properties, rates will remain at 24% and 18%.

Taxation outside the country: The non-domestic tax system will be abolished from April 2025

Care allowance: Full-time carers will be able to earn more without losing benefits – the maximum earnings threshold will increase from £151 to £195 a week

Alcohol obligation: Tax on draft drinks will be reduced by 1.7%, while off-draft drinks will increase in line with RPI – a higher measure of inflation

Fuel surcharge: The 5p fuel tax cut on petrol and diesel, due to end in April 2025, will be maintained for another year

Stamp duty: From tomorrow, stamp duty on land for second homes will increase from 2% to 5%

Air Passenger Obligation: For private jets, Reeves increases passenger tax rate by another 50%

Read more: : The most important points at a glance