Osborne plans emergency Budget for 22 June

Chancellor George Osborne has announced there will be an emergency Budget on 22 June.

Osborne set the Budget date for 22 June at a press conference this morning, where he also announced the creation of the Office of Budget Responsibility. Osborne had previously pledged to hold a budget within 50 days of taking office.

The focus of the emergency Budget will almost certainly be on the cuts to government spending and services. The Conservatives and Liberal Democrats agreed to make £6 billion in spending cuts this year as part of the coalition deal between the two parties.

Ahead of the Budget there has been plenty of speculation about what might change. Expect to see changes to Capital Gains Tax (CGT) on non-business assets, pension tax relief and possibly Value Added Tax (VAT).

Investors should be aware of the potential for change in June, but not delay making important financial decisions. Effective Financial Planning can only really take place based on what is known rather than what is expected.

The June Budget will be the second of 2010 and we will provide informative commentary and reaction to the announcements made in the Budget.