August Newsletter 2022

Aug 8, 2022 | Newsletters | 0 comments

Prime Minister candidates and possible tax cuts

With the departure of Boris Johnson, the contenders as leader of the Conservative Party and Prime Minister (PM) have been whittled down to the last two, Rishi Sunak and Liz Truss. Whoever wins will need to appoint a new chancellor and we await their tax policies with interest.

Should Liz Truss become PM, we would expect her Chancellor to call an emergency Budget, encompassing a flurry of tax reductions. In her campaign to win support from Tory members, Liz Truss has suggested that she would reverse the 1.25% Health and Social Care Levy. She would also cancel or reduce the scheduled rise in corporation tax to 25% from 1 April 2023 where company profits are in excess of £250,000 a year.

We are not currently expecting an emergency Budget under former chancellor Rishi Sunak. Sunak continues to promise tax cuts in the future, but only when inflation has been brought under control.

Fletcher Thompson Fantasy Football is back!

Last season was a resounding success, the Fletcher Thompson Fantasy League consisted of 61 Managers, 7 different Managers of The Month & 1 overall Manager of The Season, who also managed to be Manager of The Month for an impressive 3 months. Our office remained in high spirits as Tottenham reserved a place in the Champions League & Newcastle didn’t become the World’s richest Championship team.

This season we have decided that if you are interested in joining, you will need to email us at info@fletcher-thompson.co.uk we will then email you a link with the joining code. Last year it was hard to track down some of our monthly winners, which meant that unfortunately we couldn’t always give them their bubbly.

We have monthly prizes for the winner of Manager of The Month and an overall prize for Manager of The Season PLUS a brand new prize, Manager of The League Cup. To take part, you must be over 18 and live in the UK. Email us if you are interested in joining, info@fletcher-thompson.co.uk.

Helping your business become more sustainable

After some of the hottest temperatures ever recorded in the UK last month, we are reminded about global warming and how small businesses can help us drive towards net zero. A sustainable business, or a “green business”, is an enterprise that has a minimal negative impact on the global or local environment, community, society, or economy.

Going green can boost your competitiveness, lower costs, and improve your reputation with your customers and staff. Consumers are increasingly assessing a company’s environmental credentials, while business supply chains are under scrutiny to minimise environmental, ethical, and social impacts.

With a renewed focus on climate change and the environment, sustainability is fast becoming one of the most important factors when it comes to how a business operates.

Even small changes can help move UK businesses towards a greener future. To help your business become more sustainable, The British business bank lists eight ideas on sustainability:

  • Do not use single use plastic
  • Use sustainable suppliers and service providers
  • Implement a greener commute scheme
  • Switch to low energy lightbulbs
  • Install smart power strips
  • Reduce water usage
  • Make workspaces more heat efficient
  • Install built in recycling units. 

Sustainability is a key trend among the business community in the UK. According to a recent report from the Federation of Small Businesses, 56% of small businesses believe the world is facing a climate crisis and 36% already have a plan in place. Sustainability is clearly being taken seriously by entrepreneurs and if you intend to sell your products or services to them, sustainability should be top of your agenda too.

Inflation is creating more entrepreneurs

As UK inflation hits a 40-year high of over 9%, the need for additional income has motivated a record number of people to start their own businesses. New technology such as online payment systems, digital marketing tools and free online resources are helping to remove the traditional barriers which new business owners previously faced when starting up on their own. Before the hike in inflation, the initial spike in business start-ups had been largely driven by redundancies and furlough, as a result of the pandemic.

Companies such as QuickBooks and Xero have been thriving as they are geared towards supporting the needs of tech savvy, small and medium sized owner-managed businesses. According to a recent survey, the UK is considered one of the best places for entrepreneurs to start a business, thanks to its skilled workforce, tax, and legal systems.

The current wave of entrepreneurs are creating a ripple effect of opportunities for not only companies that specialise in helping business owners to grow and develop, but also for people looking for careers in industries, such as IT, accounting, tax, banking, and logistics.

Paper £20 and £50 banknotes cease to be legal tender after 30 September 2022

The Bank of England will be withdrawing legal tender status of the paper £20 and £50 notes after 30 September 2022 and are encouraging anyone who has these to spend or deposit them at their bank or Post Office.

As they are returned to the Bank of England, these are being replaced with the new polymer £20 notes featuring J.M.W. Turner, and polymer £50 notes featuring Alan Turing. After 30 September 2022, the new polymer notes will be the only notes with legal tender status.

DIARY OF MAIN TAX EVENTS

AUGUST / SEPTEMBER 2022

DateWhat’s Due
 19/08 PAYE & NIC deductions, and CIS return and tax, for month to 5/8/22 (due 22/08 if you pay electronically)
 1/09 Corporation tax for year to 30/11/21 (unless pay quarterly)
 19/09 PAYE & NIC deductions, and CIS return and tax, for month to 5/9/22 (due 22/09 if you pay electronically)