The Budget 2010 - Initial reactions

"The commentaries below are written in general terms. Details can also be found in our downloadable Budget Report brochure that will be available shortly. You are strongly recommended to seek specific advice before taking any action based on the information given, both in the commentaries and in the publication."

Budget 2010: tons of electioneering but short on detail

"Winners are first time buyers, small businesses, and successful entrepreneurs. The losers are essentially the evaders and avoiders, the wealthy and of course cider drinkers.  The Chancellors’ speech was light on detail and full of fine words but translating all this into action on the ground is a starkly different matter," according to Richard Mannion of Smith & Williamson, the accountancy and financial services group. 

Surprises were the CGT rate kept at 18% and the doubling of entrepreneurs’ relief to £2m, not to mention a freeze in IHT for four years. The waiver of stamp duty for first time buyers acquiring property of under £250,000 for the next two years should give a boost to the property market.

The suite of measures to help small businesses is also good news, notably the increase in annual investment allowance which is doubled to £100,000 a year.  While applied across the board to all businesses, it will prove particularly helpful for smaller businesses. Improved access to finance for SMEs will also be massively welcome provided it works and the extension in Time to Pay facility will continue to support businesses with cash flow difficulties - although there is still some training on this required within the HMRC.

"The financial services sector was acknowledged as a world leader and so Mr Darling recognised its importance and his emphasis on international coordination on a possible transaction tax is realistic and welcome.

However, all this should be tempered by the realisation that with an election looming we can expect another Budget very soon so much of what has been announced may be superseded, " added Tim Lyford, head of corporate tax at Smith & Williamson