Following an early morning rally in anticipation of the budget announcement, the FTSE 100 rose 0.58% to 6,651.22 as the end of the day approached. This is the third day in a row of upward movements on the index amidst the optimism surrounding the vaccine rollout and Rishi Snack budget.
Sunak has announced a corporate tax hike of up to 25% from 2023. This rose 19% from the current level. The lowest income tax threshold rises to £12,570, while the higher tax rate threshold is £50,270. Both will then be frozen until 2026. The Prime Minister has received mixed reviews, with experts warning of the potential impact of Sunak’s tax policy on the UK economy.
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Nigel Green, CEO and founder of Devere Group, passed the verdict when the Prime Minister delivered the 2021 budget to the House.
“The Prime Minister is taking a very difficult hand as he tries to stop the economic damage caused by the pandemic and by supporting jobs and businesses and crucially rebuilding the finances,” Green said. I did.
“While Sunak is welcomed with a hero of continuous and unprecedented levels of support, he should remember that he is dragging more people firmly into the tax net with a stealth move. is.”
“He’s increasing taxes under the radar. Yes, there’s no increase in income taxes. But he’s frozen personal tax standards, meaning that incomes will rise and thresholds will not rise. , we can raise funds through financial drag.”
FTSE 100, particularly home builders, have benefited from the Prime Minister’s efforts to stimulate the economy.
FTSE 100 Top Moving Company
Homebuilders, Persimmon (5.52%) and Taylor Wimpey (5.23%) closely raised the FTSE 100 to extremes, followed by Barclays (4.63%).
At the other end of the index, Avast (-4.05%), Scottish Mortgage Investment Trust (-3.22%) and Severn Trent (-2.79%) were the top forlers of the day.
DS Smith
DS Smith (LON: SMDS) confirmed on Wednesday that its trading volume was in line with the company’s expectations.
The FTSE 100 companies supplying packaging products to Amazon, Nestle and Unilever focused on “strong box volumes” driven by differentiated products, but also increased input costs.
