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Few Budget shocks or surprises for those in later life

Written by Almary Green

No great shocks – or excitement – in the recent Budget according to Almary Green.

The Chancellor delivered his 2017 Budget on 8 March but it had little of note to impact elderly or vulnerable family members.

The cost of care

There was a £2 billion injection into the social care budget but it is widely agreed that this will simply help the sector to keep its head above water, rather than allowing the expansion of services and facilities. There is talk of a social care Green Paper later in the year, so we will watch for that with interest.

Income from Dividends

Those with substantial share portfolios will have been disappointed to hear that the Dividend Tax Allowance of £5,000 – only introduced in March 2016 – is set to be cut by more than half in April 2018. This may also affect Directors and Shareholders who have structured their income to balance salary and dividends for tax-efficiency:  if you have a family business where salary and dividends provide key individual income streams, it may be advisable to check that your strategy is still efficient.

NS&I Bond Issue

A welcome announcement was that there will be a new issue of NS&I Bonds in April. These bonds have in the past proved popular with the retired sector in particular:  they offer a return that is slightly above average compared to other savings together with – importantly – the security of being Government-backed.

Inheritance Tax Planning

It’s worth mentioning that one measure – announced in last year’s Budget – that takes effect from 6 April is the addition of an extra slice of Inheritance Tax exemption for anyone who is leaving their family home to direct descendants (so children or grandchildren, including step-children and foster children). It may be worthwhile reviewing your estate planning in the light of this change.

If you would like to review your family’s savings and investments to ensure that they remain tax-efficient, please get in touch. If you have queries about the measures in the Budget, or about any aspect of your financial planning, please email us at or visit


The value of an investment and the income from it could go down as well as up. The return at the end of the investment period is not guaranteed and you may get back less than you originally invested. The tax treatment of investments depends on individual circumstances and is subject to change.


About the author

Almary Green

Almary Green Investments Ltd is an award winning firm of independent financial advisers helping individuals and businesses throughout East Anglia and beyond. We’re Chartered Financial Planners – the Gold Standard for the industry – and in November 2014 we were named Chartered Financial Planners of the Year 2014 by the industry’s professional body, the Personal Finance Society.