The Coalition has already announced its intention to reduce and then stop all government contributions to Child Trust Funds. Subject to legislation, the Government intends to reduce government contributions at birth, and to stop government contributions at age 7, from August 2010. It is intended that HMRC will stop issuing new Child Trust Fund vouchers from 1 January 2011.Until legislation is in place Child Trust Funds will continue as usual.
The proposed Saving Gateway will not be introduced in July 2010.
A levy based on banks' balance sheets will be introduced from 1 January 2011, intended to encourage banks to move to less risky funding profiles. Final details will be published later this year, following consultation.
The Health in Pregnancy Grant is a £190 one-off payment to all expectant mothers that is made irrespective of income. The Government proposes to abolish the grant from 1 January 2011. Women who reach the 25th week of pregnancy before 1 January 2011 will still be entitled to the grant providing they satisfy the conditions.
Legislation will be introduced in the autumn that will bring VAT, insurance premium tax, aggregates levy, climate change levy, landfill tax and excise duties within the late filing and late payment penalty regimes. This will complete the legislative programme started in Finance Act 2009.PAYE was the first tax to which the late payment penalties regime applied. This started in April 2010.
Local authorities will be encouraged to implement a freeze in council tax in England in 2011/12. The Government will clarify in due course the terms under which local authorities that commit to freeze or reduce their council tax will be compensated.