'Two-pronged attack': Private investors set to bear the brunt of Autumn Statement

Potential 'unexpected outcomes'

Chancellor Jeremy Hunt’s hunt for cash to plug the posited £55bn black hole in the UK’s public finances will leave private investors bearing the brunt once the cut in the annual tax-free allowance for capital gains and dividend taxes is introduced in 2023.

The dividend tax allowance will be halved from next year, falling from £2,000 to £1,000 next year and to £500 from 2024, while annual capital gains exemption will fall from £12,300 to £6,000, and then to £3,000 from April 2024. The policies have been received by the industry as a heavy blow for investors and a "two-pronged attack" to investment portfolios, with AJ Bell's head of personal finance Laura Suter terming the move as a "wealth tax raid". Autumn Statement 22: 'Double whammy against investors' with hit on dividend and CGT allowances The government has also lowered the thres...