Family Business UK response to Spring Budget 2024

Fiona Graham, Chief Advocacy Officer at Family Business UK responding to the Spring Budget said:

“With challenges facing them on multiple fronts, the family business community has been waiting on tenterhooks about what support the Chancellor would offer to help kickstart the economy.

“While there were incremental improvements on full expensing and VAT thresholds, sadly today’s announcement lacked the strong long-term vision for family firms to help them grow and provide more opportunities within the communities in which they operate.  With the recent  appointment of a new SME Council by the Government, we hope to see continued engagement with the family business community and more policies  for long term support in due course.

“On pensions the Chancellor mentioned moving ahead with the Mansion House Reforms.

“In the election year it’s essential that some of existing reforms around defined benefit pension scheme surplus sharing and consolidation keep moving ahead, and don’t come to a halt because of the election.”

Read the 2024 FBUK Budget submission

You can find the full Spring Budget, and accompanying documents, here.

Beyond the Headlines

There were updates to existing policies within the accompanying documents which will be of interest to many family firms, including:

  • Further details on six Investment Zones in Greater Manchester, Liverpool City Region, North East of England, South Yorkshire, West Midlands and Tees.  Find out more here.
  • Levelling up funding and UK Community Renewal Fund updates.  Find out more here.
  • The Government’s response to changes around Agricultural Property Relief (APR) where land is being put to environmental uses.  FBUK has engaged with HM Treasury and HMRC on this issue, and the need to update legislation to ensure family landowners are not penalised for tackling part in environmental schemes, as promoted by other parts of Government policy.  You can find the response to the consultation here
  • The Chancellor also announced the Government’s intention to regulate the provision of Environmental, Social and Governance (ESG) rating providers.  More information here.
  • HM Treasury and DLUHC published their response to a consultation on Business Rates Avoidance and Evasion

Summary of Announcements


  • 2p cut to employee National Insurance, from ten percent to eight percent.
  • Self-employed National Insurance will be cut from eight percent to six percent.
  • The non-domiciled tax status will be scrapped and replaced with a residency-based system from April 2025, raising £2.7bn in tax revenue a year by 2028/29.
  • Fuel duty 5p cut will be maintained for a further 12 months.
  • Alcohol duty freeze extended until 1 February 2025.  Abolish the furnished holiday lettings regime.
  • Abolish stamp duty relief on the purchase of multiple dwellings in one transaction.
  • Reduce the higher 28 percent rate of Capital Gains Tax on property to 24 percent.
  • Fuel duty 5p cut will be maintained for a further 12 months.  


  • Planned legislation for full expensing to apply to leased assets.
  • From April 1, increasing the VAT registration threshold from £85,000 to £90,000.
  • £200m of funding to extend the Recovery Loan Scheme as it transitions to the Growth Guarantee Scheme.
  • New powers for The Pensions Regulator and the Financial Conduct Authority to ensure better value from defined contribution (DC) pension schemes.
  • Introducing new requirements for DC and local government pension funds to disclose publicly their level of international and UK equity investment.
  • Introduce the British ISA with an additional £5000 tax free allowance for investments in UK equity.
  • £270m for advanced manufacturing, to be spent on innovative automotive and aerospace R&D projects.
  • Up to £120m more will be allocated to the Green Industries Growth Accelerator to build supply chains for new technology such as offshore wind and carbon capture.
  • Extend the energy profit levy, the “Windfall Tax”, to 2029 to raise an additional £1.5bn.
  • Abolish the energy profit levy if the energy market price falls back to a historic norm for a sustained period.


Family Business UK Spring Budget Submission 2024

In the UK, we are sitting on an enormous resource of entrepreneurialism in the form of our family business sector. Family businesses make up 90 per cent of the UK’s total
private sector firms, employing 14 million people and contributing over £200 billion through tax receipts each year alone.

Now more than ever, the Prime Minister’s focus on long-term decisions is vital to support businesses in overcoming immediate challenges while delivering long-term

Family Business UK makes the following recommendations for inclusion in the Budget that can help support the family business sector in putting the UK
economy back on the road to recovery:

• Commit to maintain Business Property Relief (BPR) in full
• Bring Business Assets Holdover Relief (BAHR) eligibility into alignment with BPR, to enable a smooth transition in ownership between generations
• Replace the Apprenticeship Levy with a new, fit-for-purpose Future Skills Fund

To read the full Family Business UK submission for the Spring Budget 2024, please Click here to access the document.

Family Business UK Joins New Small Business Council

Family Business UK attended the first meeting of the new Small Business Council in Downing Street today, as the Government looks to remove barriers to growth faced by SMEs.

Chaired by Small Business Minister, Kevin Hollinrake, the Council will work alongside the PM’s Business Council to tackle the key issues facing smaller firms. The Council will include Family Business UK, Small Business Britain, and the Federation of Small Businesses.  The Council also includes SMEs themselves, with firms representing all corners of the UK covering sectors including manufacturing, construction, food and drink.

The Council will be a powerful voice for small businesses within Government and has been tasked with overseeing three key areas for small firms – Access to finance, skills and support as well as removing barriers.

Small Business Minister Kevin Hollinrake said:

“Small firms are at the heart of our communities and the engine of our economy – which is why the work of this council is so important. My own experience of working in a small business has given me crucial insights to the problems that SMEs face on a daily basis, from barriers to growth or access to finance.

“We’re giving small firms a big voice, so they can directly air their concerns to government without delay – only when we work together can we tackle some of the burning issues SMEs are facing – only then can we help boost jobs and grow the economy.”

Neil Davy, CEO of Family Business UK, said: 

“We are delighted to be part of the new Small Business Council, representing family businesses from across all regions and communities of the UK to highlight the unique challenges they face and the practical new ideas we have for generating economic growth. It is great to see this group reflect the different models of business that make up the UK economy.

“Family firms offer a unique perspective due to their long-term view, and we look forward to working with the Council to deliver support and advice to help SMEs learn, thrive and grow.”

You can find out more about the Council, including the full list of members here