Yesterday the UK Chancellor Rishi Sunak delivered his latest budget.
In terms of measures relating to companies involved in infrastructure project finance there were a few key points that may be relevant for your business:
The planned UK corporation tax rate rise to 25% in April 2023 will go ahead as previously announced.
The annual investment allowance for plant and machinery was due to revert to £200,000 from its current £1,000,000 level on January 1st 2022. It will now continue at the £1,000,000 level until March 2023.
New legislation will bring the treatment of European Economic Area (EEA) resident companies in line with that of other non-UK resident companies. Non-UK resident companies established in the EEA will no longer be able to surrender group relief to UK resident companies. EEA resident companies will now have the same rules applied as other non-UK resident companies as to how losses from their UK permanent establishment can be relieved. The measure takes effect for accounting periods ending after 27 October 2021. If a company’s accounting period straddles this date, it will be treated as having two separate accounting periods for the purposes of these rules.
The new rates for England and Northern Ireland for 2022 and 2023 have been confirmed.
|Rate from 1 April 2022||Rate from 1 April 2023|
|Coverage||England and Northern Ireland||England and Northern Ireland|
|Standard-rated (per tonne)||£98.60||£102.10|
|Lower-rated (per tonne)||£3.15||£3.25|
Read more of our original blog content here.
We have the privilege of serving clients who are doing big, innovative things and who push us to do our best work. We like that. We support them with financial modelling, valuations and due diligence.
Find out more about what we do.
Sign up to receive “The Project” – a fortnightly quick hit of insight and resources for PF, infra, energy and PPP professionals.