Policy paper

Welsh Rates of Income Tax outturn reconciliation for 2022-23

This explanatory note sets out how the 2022-23 Income Tax data published by HMRC today is used to update the Welsh 바카라 사이트바카라 사이트檚 funding.

• From: HM Treasury
• Published: 3 October 2024

Applies to Wales

Documents

Welsh Rates of Income Tax outturn reconciliation for 2022-23

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Under the Fiscal Framework agreed between the UK and Welsh 바카라 사이트s in 2016, the Welsh 바카라 사이트바카라 사이트檚 funding is initially based on forecasts of Income Tax and updated once actual Income Tax revenues are available.聽

Actual Income Tax data for 2022-23 replaces forecasts of Welsh Rates of Income Tax (made by the Office for Budget Responsibility) and forecasts of the associated Block Grant Adjustment (based on forecast of UK 바카라 사이트 Income Tax made by the Office for Budget Responsibility).

This reconciliation process for 2022-23 can now be undertaken as HMRC have published 2022-23 Income Tax outturn data:

• Welsh Rates of Income Tax receipts are higher than forecast at the time of the 2022-23 Welsh Budget so this will increase Welsh 바카라 사이트 self-funding by 拢140 million in 2025-26
• The associated Block Grant Adjustment is also higher than forecast at the time of the 2022-23 Welsh Budget so this will reduce Welsh 바카라 사이트바카라 사이트檚 block grant funding by 拢87m in 2025-26
• The net effect is a 拢53 million increase in the Welsh 바카라 사이트바카라 사이트檚 overall funding for 2025-26.

Published 3 October 2024