Budget 2014: the losers

Who lost out the most in the George Osborne's fifth Budget?

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Budget 2014

Foreign property investors and benefits claimants are among the groups likely to be disappointed by what they heard the Chancellor George Osborne spell out in his Budget speech today.

Here, we explain why they are among the biggest Budget losers this year.


Benefits claimants
"Never again" should the welfare system be allowed to spiral out of control, said Osborne, as he outlined more plans to cap welfare payments - setting the overall limit for 2015-16 at £119bn, excluding state pensions and unemployment benefits.

The cap is in line with official forecasts for welfare spending, but has been highlighted as a very political move as it will require the future chancellor to cut benefits whichever party he or she comes from.

Tax evaders
The Budget included a number of measures designed to crack down on people who avoid paying tax.

Perhaps the most significant was the announcement that the taxman will be able to take money from the accounts of those who refuse to pay.

Osborne said: "We will give HMRC modern powers to collect debts from bank accounts of people who can afford to pay but have repeatedly refused to, like most other Western countries."

Foreign investors
There has been a lot of debate about the loophole that allows rich investors to buy properties in the UK through companies, thus avoiding stamp duty.

And now, it seems, the government has decided to take action to stop the practice. "From midnight tonight anyone purchasing residential property worth over half a million pounds through a corporate envelope will be required to pay 15% stamp duty," Osborne said.

He also announced plans to expand the tax to residential properties worth more than £500,000.

Stay-at-home parents
The Budget included good news for working parents who can now claim a childcare subsidy worth up to £2,000 per child.

However, families where one parent stays at home to take care of the children will not qualify for the new scheme.

Smokers
The duty on alcoholic drinks has been frozen for Scotch whiskey and cider, and cut by 1p for beer.

The duty on cigarettes, however, will rise by 2% above inflation, adding to the costs faced by people unable to ditch the habit.