NEWS
​​
Budget November 2025
The most important measure in the Budget was the commitment to hold Income tax thresholds at their current level until 2030/31. Though widely condemned, this is a way of gaining 'fiscal headroom' so that government spending now can be financed by future revenue without higher tax rates. This has provided for more planned spending on the NHS, child benefit and pensions. Dividend tax rising in April is important for small business owners. According to the independent office for budget responsibility (OBR), inflation is expected to end the year at 3.5 per cent this year. In 2026, the economy is expected to grow by 1.4 per cent.
​
Permanently lower business rates will be brought in for small retail, leisure and hospitality business. The plan is to place a higher tax on properties with a rateable value of £500,000 or more. A £4.3 billion support package will also be available to those hit hardest by revaluations in April 2026.
​
The Minimum Wage for workers over the age of 21 will rise to £12.71 in April 2026, a 50p increase on the current figure. Those aged 18-20 will get 85p per hour extra, going up to £10.85 per hour. The rate for under 18s and apprentices will be going up by 45p to £8 per hour. Employers paying the Real Living Wage will have to increase staff pay to £13.45 per hour for outside London. SMEs will have apprenticeships for eligible under 25s fully paid for by the Government.
​
From April 2027, the basic rate of tax on Capital Gains on property will be 22 per cent, the property higher rate will be 42 per cent, and the property additional rate will be 47 per cent. The government said it will also increase the regular and upper rates of tax on dividend income by two percentage points from April 2026.
​
Imported packages of £135 or less will now be subject to Customs Duty by March 2029 in line with all imports
​
Salary sacrificed pension contributions above £2,000 threshold will not be exempt from National Insurance from April 2029.
​
The main rate of corporation tax will remain on the current 25 per cent. However, the main writing down allowance has been reduced, meaning that it will take businesses longer to deduct the cost of equipment and machinery from their taxable profits.
​
Income tax thresholds will be frozen for employed and self-employed workers at their current level for another three years from 2028-2031. The current £1 million Annual Investment Allowance is retained.
​
Fuel Duty is frozen until September 2026. However, there will be a staged increase from 2026. Regulated train fares (including season tickets and some off-peak returns) in England are to be frozen until March 2027. A new mileage-based charge on electric and plug-in hybrid cars will apply from April 2028 at around half the fuel duty rate paid by drivers of petrol cars. Hybrid plug-ins will pay 1.5p per mile while fully electric vehicles will pay 3p per mile.
​
Best Business Films 2025 Announcement
​
Enterprise Links considered four films for it's award of Business Film of The Year 2025. We can announce that no film passed the criteria to be added to the list we maintain of the seven best business films since the start date of 1992 (See Below).
The four were The Brutalist , Emila Perez, Nickel Boys and The Substance. They were all 'genre defying', yet each had a message about business or enterprise alongside other themes. While none will ever be classed strictly as a business film, all were excellent movies touching on enterprise for good or ill. Our film choice for best of the year 2025 is:
NICKEL BOYS (Available on Amazon Prime) just ahead of The Brutalist (Sky Cinema).
We now wish to expand our list of Classic Business Films to the 10 best ever and so remove the requirement that they were made in or after 1992. This immediately brings into consideration: The Godfather, Its a Wonderful Life, Citizen Kane, Wall Street, and The Secret of My Success. If you have any comments or other film suggestions please let us know. We will annouce the top ten on December 19th 2025 from your nomimations.
​
Making Tax Digital
Making Tax Digital for Income Tax (MTD for IT) is a campaign by HMRC to increase the use of accounting software by sole traders, business partners and landlords.
Spring 2025 Budget ​
​
The rate of Employers National Insurance contributions will increase to 15% of the salary of any staff earning over £5,000. To protect small businesses the 'Employment Allowance' has been increased to £10,500 which can be claimed by any employer against their Employers NI bill. This is not available companies where the sole director is the sole employee.
​
Employees will pay National Insurance at 8% on earnings over £12,570. Employees earning between £6,500 and £12,570 will have NI contributions credited free. Employees earning less than £6,500 will not have NI contributions credited to them, but those in receipt of Universal Credit will have NI contributions credited. Anyone else can pay voluntary contributions of £17.75 per week in order to maintain access to future state pension and other benefits.
Self employed people must pay Class 4 NI contributions at 6% of earnings over £12,570. From April 1st the National Living Wage for people over 21 is increased to £12.21. Income tax rates and thresholds remain unchanged. The personal allowance is £12,570 and the basic rate of income tax is 20%.
​
Capital Gains Tax on the sale of business assets (BADR) rises on 1st April 2025 to 14% and will rise to 18% in 2026.
Retail, Hospitality and Leisure businesses will continue to be entitled to Business Rate Relief of 40%. The lower tax treatment of furnished holiday lettings has been abolished from 6th April 2025.
​
The requirement for sole traders and landlords to use digital accounting software from 2026 was confirmed for businesses with a turnover of over £50,000, and it was announced that this will be extended in 2027 to those with turnover of over £20,000.
Spring is also when economic forecasts are made. Current growth forecasts are generally low, and the independent UK Office for Budget Responsibility expects output (GDP) to grow 1% in 2025, by 1.9% next year, 1.8% in 2027, 1.7% in 2028 and by 1.8% in 2029. Real household disposable income per person is expected to grow by an average of around 0.5 percentage points a year from 2025-26 to 2029-30, as a result of stronger wage growth and inflation starting to fall later in the forecast period.
​
​
​
​International Business Film 2025
​​
Each year Enterprise Links considers films for recognition as 'best business film'. Since 1992, the founding year of Enterprise LInks, only seven films have been recognised as Classic Business Films (see below). The criteria requires a film to have received wide critical acclaim and in content feature business, enterprise or business people. To be considered a Business FIlm Classic the motion picture must be regarded as likely to stand the test of time.
In February a list of films released in the last 12 months that have been critically acclaimed was published and opinion from the 'Enterprise Links' businesss community is sought on their eligibility as a significant film about business activity. Whether a film is a business film is a highly contentious matter, so feel free to disagree. Here is the list for consideration by Enterprise Link business associates:
---------
​
The Brutalist
An international co-production between the United States, UK, and Hungary, staring Adrien Brody as a Hungarian-born Jewish Holocaust survivor who immigrates to the United States, where he struggles to achieve the American Dream until a wealthy client changes his life.
Emilia Perez
A genre defying French musical crime comedy film which follows a Mexican cartel leader (Karla Sofía Gascón) who enlists a lawyer (Zoe Saldaña) to help them disappear so that they may transition into a woman.
Nickel Boys
An American historical drama follows two African-American boys, Elwood and Turner, sent to an abusive reform school in 1960s Florida. One goes on to run his own business. The film is inspired by the now closed notorious Dozier School for Boys.
The Substance
A body horror film follows a fading celebrity, Elisabeth Sparkle (Demi Moore) who, after being fired by her producer (Dennis Quaid) due to her age, uses a black market drug that creates a much younger version of herself with unexpected side effects.
​
---------
​
The definition of a 'film about business or enterprise' is broad and subjective. In the final analysis to receive the accolade classic a film should have a meaningful message about business people or business activity. Critical acclaim has been demonstrated by all four, but to join the 'classic' list the requirements are very high. The passage of time can increase or diminish the rating of a film. For this reason is is possible that a film can be added to or deleted from the list of previous years award winners. Remarkably, there has been no addition since 2013. A reminder, these are the seven classic films about business that Enterprise Links considers have stood the test of time:
​
Glengarry Glen Ross 1992
Jerry Maguire 1996
The Devil Wears Prada 2006
The Social Network 2010
Margin Call 2011
Dallas Buyers Club 2013
The Wolf of Wall Street 2013
​
Please feel welcome to participate in the consideration by using our contact details. See above for the 2025 result announcement.
​
​
​​​​​​
Tax Information
Making Tax Digital
​From April 2026 all business owners with sales turnover in excess of £50,000 a year will have to keep their records digitally, unless exempt.
This will mean accounting software or a spreadsheet that has a digital link to HMRC. The £50k limit will fall to £20k by 2028. ​​
​
All VAT registered businesses are already required to keep digital records and submit a VAT return through MTD-compliant software or bridging software if they wish to continue to use spreadsheets. ​Exemptions can be given by HMRC for reasons of age, disability, religion, or lack of broadband access.
​
Remeber the sales turniver threshold £50,000. Contact Enterprise Links if you are in any doubt that you are affected.
​
Important Dates
​
The significant dates to remember are the dates that tax returns should be submitted and tax paid to HMRC
Sole traders must complete a tax return and pay the tax due on business profits for the previous Tax Year by the following 31st January. For example, the tax year 2025-26 runs from 6.4.2025 to 5.4.2026, and any income tax not deducted at source (Pay as you Earn) must be paid by 31.1.2027.
​
Directors of limited companies must make a personal tax return of any income they receive from their company .
​
Directors of limited companies are also responsible for the submission of a Corporation Tax return by 12 months after the end of the company's accounting year. Corporation Tax must be paid within 9 months of the end of the accounting year (when the accounts end). They must also submit accounts and a confirmation statement to Companies House each year.
​
VAT must be paid and a VAT return made to HMRC by the 7th day following the end of the month after the VAT quarter.
​
Enterprise Links Ltd can be engaged to do all of the above on your behalf. Although personal tax returns can still be made on paper, 97% of them are now made electronically.
​
​
Tax Allowances and Rates 2025
​
The personal allowance, which is the amount any man woman or child domiciled in the UK is allowed to earn tax free, is £12,570 and the income tax basic rate of 20% applies to income from £12,570 to £50,270. 40% applies to income from £50,271 to £125,140. Any income above £125,140 is Taxed at 45%.
The transferable tax allowance for married and civil partners (aka the marriage allowance) is £1,257 The capital gains tax annual exempt amount is £3,000.
​
For businesses the annual captial investment allowance has been temporarily increased to £1 million. The tax free Individual Savings Account annual subscription limit is £20,000. Trading allowance is £1,000 and Savings allowance in £1,000. Dividend allowance is £500.
​
​
Self Assessment - a guide
​
​
Self assessment is the system under which taxpayers are required to account for tax that has not been deducted at source. You will need to submit a tax return to HMRC if you are:
-
working for yourself and your income from self-employment was more than £1,000 - anything under this amount falls within the ‘trading allowance’.
-
renting out a property and your rental income is more than £2,500 - you will need to phone HMRC to give them the figures if you receive between £1,000 and £2,500.
-
a company director (except for directors of a not-for-profit organisation and you did not receive any pay or benefits, like a company car or medical insurance).
-
a trustee of a trust or registered pension scheme or the executor of an estate.
-
living abroad and have a UK income - this includes non-UK resident landlords.
or if you receive:
-
income from savings and investments of more than £10,000.
-
dividend income of more than £10,000.
-
other ‘untaxed income’ of more than £2,500. This could be tips or commission. If the income is less than £2,500 a year you might not have to complete a tax return but it is still your responsibility to report such income.
-
taxable foreign income, even if tax was paid in the country of origin, whether or not you are resident in the UK.
-
a taxable annual income of more than £100,000.
-
A P800 form from HMRC showing tax due at the end of the year that cannot be collected via your PAYE income and you did not make a voluntary payment.
-
regular annual income from a trust or settlement, or income from the estate of a deceased person and further tax is due.
-
state pension which is more than your personal allowance and is your only source of income, except in cases where your pension commenced on or after 6th April 2016.
-
income over £70,000 (or your partner’s income was over this amount) and one of you claimed child benefit.
-
or have a capital loss but your gains net of any losses are more than the annual exemption
-
or have no losses to claim but your gains are more than the annual exemption
-
​
and you may also want to complete a tax return if you:
-
want to claim for expenses of employment which total £2,500 or more.
-
want to claim tax relief for donations made to charity or private pension contributions.
-
want to prove you are self-employed, for example to claim tax free childcare.
-
want to make voluntary national insurance payments to qualify for benefits.
If HMRC have sent you a tax return, or a notice to complete one, the return must be completed and submitted by the following 31st January.
​
​
​
​
National Insurance and the State Pension
There are complex rules regarding state pension entitlement as a result of national insurance contributions. Basically the present rules are that you need 10 years NI contributions to get a state pension at all, and 35 years for a full state pension. People retiring could have their state pension provided under three state pension systems: the basic state pension, State Earnings Related Pension (Serps), and State Second Pension. Only the basic state pension is available now.
In April 2016, a calculation was done to work out what pension you have earned under the old rules and the new rules. Pensioners will get the higher of the two, less any deductions from "contacting out". If you have opted out of either Serps or the State Second Pension, or both, your state pension will be reduced.
If this "foundation" pension is less than the maximum state pension then further NI contributions will increase it, at the rate of 1/35 of the maximum state pension, for each further year until you reach the maximum or state pension age.
If you had a private pension that replaced part of your state pension, then by paying more NI in future you could gain a higher state pension than you would have achieved under the old state pension system while keeping the private pension.
Digital Accounting
​
HMRC already uses third-party data from banks, building societies, pension providers and employers. In time those sources could include income from property, peer-to-peer lending, and dividends and shares. These sources, they argue, are necessary in today’s economy where “taxpayers hold more than one job and may have fluctuating and unpredictable incomes. HMRC is keen to stress that new third-party information will be sourced openly and transparently, and that all legal requirements, including privacy impact assessments, will be met. Taxpayers will be able to see all the third-party data sources linked to their records at any time through their digital personal tax accounts. But many will need help to understand or comply, and will have doubts over security.
HMRC estimates that the use of third-party sources, and the reduction in under- and over-payments, will benefit six million customers in the short-term and up to 40 million taxpayers in future. However previous initiatives did not involve the entire British population, multiple data sets, and real-time information which re often both incorrect and incomplete.
​
​
Personal Tax Accounts
The Personal Tax Account gives taxpayers information on their tax affairs 24 hours a day, 7 days a week.
Services include:
​
-
filing a Self-Assessment tax return
-
claiming a tax refund directly into your bank account
-
checking and managing tax credits
-
checking your State Pension and national insurance contributions
For information visit www.gov.uk/personal-tax-account where you can sign up for free.
MB
​