Press release

23 Sep 2022 London, GB

Annual Investment Allowance: The end of the yo-yo?

Chris Sanger, EY’s Head of Tax Policy, comments on the emergency Budget

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Chris Sanger

EY Global Government and Risk Tax Leader and EY EMEIA and UK&I (Tax Centre) Tax Policy Leader

Passionate about improving tax policy. Problem solver. Globetrotter

Related topics Tax

Chris Sanger, EY’s Head of Tax Policy, comments on the emergency Budget:

“Whilst this Chancellor went out of his way to differentiate himself and the government from Chancellors past, in at least one way he shared the habits of his predecessors. Changing the level of Annual Investment Allowance (“AIA”) has featured in many of recent Budgets and today was no exception. The drop from £1m to £200k, due next year, has been reversed, with the AIA now set ‘permanently’ at £1m. Renowned as the ‘yo-yo’ incentive, we may yet wonder how ‘permanent’ this change will be this time.”