Employees
Company cars and fuel
The basis for taxing company cars and fuel provided for private use is set out in Table C. No changes were made to the rates already announced in previous years, so cars first registered after 5 April 2020 and electric cars will see their benefit charge rise by one percentage point (subject to the maximum of 37%). The rates for 2022/23 will be the same for cars registered before and after 5 April 2020, and will now remain fixed until the end of 2024/25.
The provision of a van available for private use gives rise to a tax charge on an income figure of £3,600, plus £688 if fuel is also provided free. An electric van available for an employee’s private use does not give rise to a tax charge.
National Living Wage (NLW) and National Minimum Wage (NMW)
The NLW will increase by 6.1% for individuals aged 23 and over to £9.50 per hour from 1 April 2022. Other rates of NMW will rise from the same date by different percentages, as recommended by the Low Pay Commission.