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This is Money Podcast

Was the whole Budget a joke? Simon Lambert dissects a Chancellor's kamikaze attack on small business

This is Money Podcast

This is Money

Business News, Business, Investing, News

4.1650 Ratings

🗓️ 10 March 2017

⏱️ 54 minutes

🧾️ Download transcript

Summary

It felt like there was something fishy going on during the Budget speech this week.

Chancellor Philip Hammond peppered the few official announcements he made with low-rent panto gags and political jibes. Were these a distraction technique?

With the benefit of hindsight, it’s clear that trying to be funny was silly Philly’s way of glossing over one of the more ‘spectacularly dumb’ decisions in modern politics.

Big banks brought the economy to its knees in the late noughties, why now go after the self-employed and small businesses to shore up the country’s finances with a National Insurance hike?

It was a short, sweet kamikaze mission, especially given the manifesto pledge of no increase in VAT, National Insurance or income tax. A U-turn beckons.

As ever, This is Money editor Simon Lambert explains exactly what it all means and how National insurance works for the self-employed. Is it time to merge it with income tax?

Also, on the show with Georgie Frost and Lee ‘spreadsheet’ Boyce…

A pointless, below-inflation government-backed savings bond was also announced in the Budget. You can get better elsewhere.

Diesel cars confusion – we need answers on where exactly the pollution problem lies and who is likely to be penalised and when

Savings deal of the week – Atom bank has an attractive account but it’s only available on a phone app

Rip-off insurance cover – IPT, the insurance tax, has doubled in two years. Expect to pay hundreds of pounds more to cover your car and home.

Can you afford to ever retire? Listen to Simon’s advice and you can save without realising.

How should couples manage their joint finances – and what if one has secret debts?

And finally, who should pay for dinner if you dine with someone who earns less than you?

Enjoy.

Transcript

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0:00.0

This is Money, brought to you in partnership with NS&I, giving you 100% security backed by HM Treasury.

0:20.3

A very warm welcome to This Is Money podcast in partnership with NS&I.

0:24.5

I'm Georgie Frost and in the studio with me is editor Simon Lambert and Consumer Affairs editor

0:29.1

Lee Boyce to round up the week's top stories that they've been covering on their award-winning

0:33.6

website this week.

0:35.0

And roll up, get your tickets for spreadsheet fill and the white van

0:38.7

scam. How did a boring budget get? Well, so messy. 60% of self-employed people will pay less

0:46.1

national insurance. But for those on higher incomes, we've asked them to pay a little more national

0:51.2

insurance contribution. A raid on small businesses, entrepreneurs, they're self-employed, from a conservative government,

0:57.4

a conservative government no less, that in their manifesto pledge no increases in national

1:02.1

insurance, income tax or the AT, surely not.

1:05.0

Well, the move hasn't gone down too well with their own MPs and now the proposal's

1:10.2

been put on ice until the autumn.

1:12.2

The change to national insurance will require legislation of its own.

1:15.7

It won't be part of the finance bill.

1:17.9

Always what happens with national insurance changes.

1:20.5

Also in the budget, the tax-free dividend allowance came under attack.

1:23.4

This will hit private investors with large portfolios, even if it's primarily aimed at self-employed people who set themselves up as a company.

1:31.2

Simon looks under the bonnet of a market-leading savings deal announced on Wednesday as well.

1:36.0

Is it as good as it sounds?

1:37.8

If white van men have been hit, what news for white vans themselves?

1:41.9

More woes on the horizon for diesel drivers were there actually

...

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