Autumn Budget 2024 - PwC comments on the impact for consumers and consumer businesses

Lisa Hooker, Leader of Industry for Consumer Markets at PwC UK explores what the Budget might mean for both shoppers and businesses during the important Golden Quarter: 

“The latest Budget brings some positive news for consumers from the increase in living wage, freezing of fuel duty and triple lock on pensions. The minimum wage hike will particularly benefit younger consumers, who, as highlighted by PwC’s latest Consumer Sentiment survey, are already leading in spending.”

“High street businesses, especially in retail, leisure, and hospitality, will benefit from the extension of the 40% business rate relief—up to £110,000 per business until 2026”.

“The increase in capital taxes may impact luxury spending as high-net-worth individuals adapt to the new tax structure. Pint drinkers will toast to the draft duty freeze this festive season, providing relief to pubs and patrons, while expanded support for breakfast clubs boosts growth for grocers and hospitality businesses that support these community programs.”

“Despite the consumer industry's ongoing challenges in achieving growth this year, the rising employment taxes will be a disappointment. Additionally, there has been no comprehensive review of critical areas such as business rates and the apprenticeship levy."

“We do hope that increased certainty on government policy and taxes will reverse some of the declines seen in our latest consumer sentiment survey”