These rates apply from 1 March 2020. You can use the previous rates for up to 1 month from the date the new rates apply.
Hybrid cars are treated as either petrol or diesel cars for this purpose.
The Advisory Electricity Rate for fully electric cars is 4p/mile.
Electricity is not a fuel for car fuel benefit purposes.
The rates only apply when you either:
You must not use these rates in any other circumstances.
If you pay a rate per mile for business travel no higher than the Advisory Fuel Rates, for the particular engine size and fuel type, HMRC will accept there’s no taxable profit and no Class 1A National Insurance to pay.
You can use your own rates which better reflect your circumstances if, for example, your cars are more fuel efficient, or if the cost of business travel is higher than the guideline rates.
If you pay rates that are higher than the advisory rates and cannot demonstrate the fuel cost per mile is higher, there’s no fuel benefit charge if the mileage payments are solely for miles of business travel. Instead, you’ll have to treat any excess as taxable profit and as earnings for Class 1 National Insurance purposes.
If you’ve correctly recorded all miles of private travel and used the correct rate (or anything higher) to work out the cost of fuel used for private travel that the employee must repay to you, HMRC will accept there’s no fuel benefit charge.
The advisory rates will not be binding where you can demonstrate that employees cover the full cost of private fuel by repaying at a lower rate per mile.
Link to original article: Advisory Fuel Rates from 1 March 2020
Read MoreFigures published today by the Office for National Statistics show how the unemployment rate remains at its lowest since 1974, with over 33 million people now in work.
This figure includes an increase of 2.3 million UK nationals in work since 2010, taking that figure to just over 29 million, and increasing the employment rate to 76.5%.
Another 1.4 million more disabled people are now in work than in 2013, helped by more than 16,000 employers signing up to the Disability Confident Scheme.
Employment has risen in every region of the UK since 2010 and looks set to continue with the introduction of the government’s transport funding, allowing jobseekers and commuters a better connection to places of opportunity.
Minister for Employment, Mims Davies MP said:
“As we embark on a new chapter as an independent nation outside the EU, we do so with a record-breaking jobs market and business confidence on the rise.”
“With wages still outpacing inflation, UK workers can expect their money to go further as we look ahead to a decade of renewal. The upcoming Budget will steer us on that course, further driving our levelling up agenda – so we can all share in the country’s prosperity.”
Read MoreBusinesses that fail to pay their workers the National Minimum Wage or National Living Wage will continue to be publicly named by the government, following a review of the scheme.
The naming scheme will resume calling out businesses failing to pay their workers the National Minimum Wage, while increasing support for employers to comply with NMW legislation. The changes, which will see naming rounds occur more often, will enhance the effectiveness of the measure as a deterrent.
The government has also increased the threshold for naming employers, meaning that firms which owe arrears of more than £500 in National Minimum Wage payments to their workforces will now be named. The threshold was previously £100. This new proportionate approach will mean that some businesses falling foul of the rules by minimal sums will not be named, provided they correct any errors. These businesses that underpay by less than £100 will have the chance to correct their mistakes without being named, still have to pay back workers and can face fines of up to 200% of the arrears.
Business Minister Kelly Tolhurst said:
“Anyone who is entitled to the minimum wage should receive it – no ifs, no buts – and we’re cracking down on companies that underpay their workers.
“We also want to make it as easy as possible for employers, especially small businesses and those trying to do right by their staff, to comply with the NMW rules, which is why we’re reforming regulations.”
Link to original article: Naming employers who fail to pay minimum wage to be resumed
Read MoreThe Government announced yesterday that the number of people in work has hit another record high, with the unemployment rate continuing to remain at its lowest level since the 1970s.
The employment rate currently sits at a record high of 76.3% with all region throughout the UK benefitting from an increase in employment since 2010.
The North West in particular has enjoyed a climb in the number of people in work, with 3.55 million reported to be working.
It has been reported that more than 317,000 women entered work in the last year alone, contributing to this increase in employment.
There has also been an increase in people taking up careers with room for progression, with 3.1 million more people employed in higher skilled work since 2010. This figure makes up 80% of the employment growth.
Minister for Employment, Mims Davies said:
“These figures show not only more people in work than ever before, but it’s also pleasing to see alongside this a rise in those working in higher skilled roles. It means at the dawn of the decade the opportunities to progress in work are out there, with people already benefiting from another month of rising wages.”
Read MoreThe top 10 most bizarre excuses and questionable expenses claims for items, in reverse order, are:
All the excuses and expenses listed above were unsuccessful.
Angela MacDonald, HMRC Director General of Customer Services, said:
“Each year, we try to make it as easy and simple as possible for our customers to complete their tax returns and the majority make the effort to do theirs’ right and on time. But we still come across some unusual excuses and expenses, which range from problems with a mother-in-law to yachts set on fire.”
“We always offer help to those who have a genuine excuse for not submitting their return on time. It is unfair to the majority of honest taxpayers when others make bogus claims.”
“If you think you might miss the 31 January deadline, get in touch with us now – the earlier we’re contacted, the more we can help.”
Link to original article: HMRC Highlights a decade of bizarre excuses and expense claims
Read MoreA new requirement has been introduced to help employment businesses comply with the Conduct Regulations 2003.
From the 6th April 2020 the new document, known as a Key Information Document (or KID), must be provided to the agency worker before any terms are agreed between themselves and the agency. This document is intended to provide agency workers with some important information about their pay, including deductions and fees they may be subject to before they agree to any terms with the agency.
It is important to point out that the figures stated in this document may not be precise, as terms have not yet been agreed, however, they legally have to reflect the minimum amount a worker can expect to receive (e.g. – no less than minimum wage) and a description of the deductions that are to be made from the worker’s pay (e.g. – income tax).
The KID for agency workers being paid through an umbrella company must contain information such as:
For more information, please see: Providing a Key Information Document for Agency Workers
Read MoreSajid Javid confirms next Budget will be held on Wednesday 11 March 2020.
The Chancellor of the Exchequer, Sajid Javid, has today launched the beginning of the Budget process and announced that it will take place on Wednesday 11 March 2020.
During a visit to the new £350 million Trafford Park tram line project in Manchester, the Chancellor set out plans to use the Government’s first Budget to deliver change – unleashing Britain’s potential, delivering world-class public services and levelling up the whole country. The Chancellor of the Exchequer, Sajid Javid, said:
People across the country have told us that they want change. We’ve listened and will now deliver.
With this Budget we will unleash Britain’s potential – uniting our great country, opening a new chapter for our economy and ushering in a decade of renewal.
The Chancellor will today provide an economic update to Cabinet colleagues before updating Parliament during Treasury oral questions. He is expected to set out plans in the March Budget to:
At the Budget, the Chancellor will update the Charter of Fiscal Responsibility with new rules, taking advantage of low interest rates to invest properly and responsibly, while keeping debt under control.
The Budget will prioritise the environment, and build on recent announcements to boost spending on public services and tackle the cost of living. These include investing in new hospitals, training thousands of new police officers, funding vocational education and the biggest ever cash increase to the National Living Wage.
Read MoreThe Low Pay Commission’s 2019 recommendations complete the path originally set out in 2015.
The Low Pay Commission (LPC) today publishes its 2019 recommendations on the National Living Wage (NLW) and National Minimum Wage (NMW) and a summary of its 2019 findings, covering our analysis of the impact of the 2019 rates and the evidence for our recommendations for rates from April 2020.
The acceptance of the LPC’s recommendations means achieving the goal originally announced by the Government in 2015, of raising the NLW to 60 per cent of median earnings. The Chancellor has indicated he will set a further target of two-thirds of median earnings by 2024.
Bryan Sanderson, Chair of the Low Pay Commission, said:
“The NLW has been an ambitious long-term intervention in the labour market. The rate has increased faster than inflation, faster than average earnings and faster than most international comparators. This has raised pay for millions without costing jobs, although employers have had to make a variety of other adjustments to deal with the increases.
“Our recommendations on the NLW are conditioned on sustained economic growth, and this bar was more narrowly reached than in previous years. Nevertheless, the economy has continued to grow and the labour market has performed well overall.
“The Chancellor’s intentions for the next phase of the NLW will mean further ambitious increases. We will continue to keep a close eye on the evidence and to report to the Government on the challenges this involves.”
The LPC’s recommendations comprised:
The April 2019 increase in the NLW directly raised pay for around 1.6 million workers in 2019. Overall, the number of workers paid at the rate has remained stable since 2017.
Link to original article: National Living Wage to hit 60 per cent target in April
Read MoreThe hourly rate for the minimum wage depends on your age and whether you’re an apprentice.
You must be at least:
These rates are for the National Living Wage and the National Minimum Wage. The rates change every April.
Apprentices are entitled to the apprentice rate if they’re either:
Apprentices are entitled to the minimum wage for their age if they both:
Link to original article: Minimum wage increases
Read MoreFinance Minister Rebecca Evans has unveiled a draft Budget with plans to invest more than £8 billion for the Welsh NHS alongside ambitious projects to help combat climate change.
In the first budget following the declaration of a climate emergency in Wales, there is significant new funding for low carbon transport and housing and support to restore Wales’ natural environment. This budget also protects major ongoing funding for renewable energy, the development of zero carbon technologies and access to nature.
The 2020-21 draft Budget will see the Welsh NHS receive an inflation-busting increase of £342 million next year, alongside an almost £200 million boost for local government. Core funding for local authorities will grow to almost £4.5 billion, boosting resources for schools, social care and other local services.
There will also be additional funding to tackle poverty, including extra support for disadvantaged pupils, and investment for town centre regeneration in a budget that delivers real term increases for all Welsh Government departments.
This budget also confirms that Welsh rates of income tax will be unchanged for next year, maintaining the pledge not to raise tax rates this Assembly term. It also focuses on longer-term, preventative measures to promote the wellbeing of future generations.
The UK government’s September 2019 spending round provided funding allocations for one year only. Following this announcement, like for like funding for Wales next year will be £300 millon lower compared with 2010-11.
Finance Minister Rebecca Evans said:
“This draft Budget delivers on our promises to the people of Wales and invests for the future of our planet.
“Despite a decade of austerity, we have consistently prioritised our NHS. Our plans will confirm a £37 billion investment in the Welsh NHS since 2016.
“As we take on the climate emergency, I am protecting our existing investment and delivering a new £140 million package with support for low carbon transport and a National Forest for Wales.
“Funding increases for other vital public services, such as schools and local government have also been secured in this year’s budget. Ministers have also worked across government to focus on long-term, preventative measures such as mental health investment in line with the Well-being of Future Generations Act.
“Even though our like for like funding remains below 2010 levels, this budget strives for a greener, equal and prosperous Wales.”
Link to original article: Welsh Government unveils draft Budget
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