opinion

The Budget 2017: How Will It Affect Me?

By Ed Reynolds | Thursday 23rd November, 2017

For many, The Budget 2017 is a string of words and acronyms that people neither understand nor care about. It is a one hour speech that usually informs us of how much worse off we will be financially and considering most of us are hundreds of pounds in the minus, the fact that the government talks about billions and trillions of pounds makes us feel like we are part of a glorified game of Monopoly. A game which we will never win and where whoever is the banker keeps stealing money from your pile when you get up to take a piss.

This year’s budget was given beneath a mask of positivity. But what actually came out of the speech and how are we expected to be affected?

Housing

The dream of owning our own home has long been the reality of only the few but with the removal of the Stamp Tax, it means that buying a home, in the future could be a possibility. So now, if you are after a home for £300,000 (which let’s be honest, you still won’t find down the back of your couch) you won’t pay this tax. Although it doesn’t really solve the issue of all of us being poor AF and living with our parents or in a shared house with some guy named Jeff who eats two boxes of raw mushrooms for dinner, it shows the housing situation is progressing in the right direction.

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Loot’s CEO, Ollie Purdue commented, “Today's budget outlined by the Chancellor was particularly welcome news for younger generations - specifically for those with a dream of one day owning their own house. Shockingly, home ownership for those aged between 25-34 years old stands at just 39%, and real solutions that young people actually felt the impact of were long overdue.”

"The biggest financial worry for those under 35 is affordable housing – in particular raising a sizeable enough deposit to get on the housing ladder. The abolition of stamp duty for first time buyers purchasing a property of up to £300,000, or the first £300,000 of properties up to £50,000, is welcome news for all those dreaming of owning their own home one day. It's particularly good news for those in London where the average stamp duty for a first time buyer sits at over £10,000. It's estimated that change this will save 80% of first time buyers from having to pay any stamp duty at all.”

Booze

It’s great news for those partial to a frosty beverage at the end of a hard day’s work because the duty tax has been frozen on wine, beer and most ciders. This will equal 12 whole little pennies off a pint and £1.15 off a bottle of Whiskey by next April- OMFG. So if these aren’t your drinks of choice then you have some soul searching to do before April 2018.

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Personal Tax

One of the most important changes in the budget is the change to our tax allowance. From April next year you won’t pay tax on the first £11,850 of your earnings. It might not seem like a big deal but it means you get to spend ever so slightly more of your own money before you get taxed on it. And it’s more great news for those of us who are on minimum wage as this is set to rise to £7.83. So for those working about 40 hours a week you’re looking at an extra 50 quid a month… don’t spend it all at once yeah…

And The Rest

There were several other interesting points raised. Such as the government’s new obsession with mathematicians and their investment in technological advancement which has been triggered by what was called the ‘technological revolution’ (nice one, Elon Musk). More money has been allocated to helping the homeless and those on welfare will see some changes too.

The final change is great news for the over 25’s, as Purdue commented, "the age extension of the discounted rail card is also welcome news for those aged between 26-30. Given that people in the 26-30 age bracket often face similar financial struggles to those aged between 16-25, this change was long overdue and these reduced travel costs will allow young people to utilise their money more in line with what they see fit."

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