Yesterday The Queen unveiled the proposed legislation of the new Conservative Government. The decree that David Cameron has coined a ‘programme for working people’ included free childcare, an income tax freeze and the right-to-buy for housing association tenants and a range of Bills that may boost the Peer-to-Peer Lending Sector.
Planned Bills were key within the Queen’s speech and Wellesley paid particular attention due to their potential influence upon the Alternative Finance Sector. The Bank of England Bill, Cities and Local Government Devolution Bill, National Insurance Contributions and Finance Bill are to be concentrated on.
The Bank of England Bill aims to further strengthen the governance and accountability of the Bank of England. The Bank of England’s announcements and regulations are always significant with any finance institution however, Wellesley also keep a close eye on the Base Rate as investment rates are key for our business operations. Further to this, Wellesley’s 30 Day Easy Access product’s rate of return fluxuates with consumer demand and also the Base Rate.
The Cities and Local Government Devolution Bill has a purpose of fulfilling the Government’s commitments on developing powers and budgets to boost local growth in England. The Conservative Government will work through their economic plan to rebuild the country and to ensure that people are building again. This is a key element that Wellesley are taking particular interest in as we supply finance to specifically but not exclusively, to property developers.
The introduction of the National Insurance Contributions and Finance Bill will see no rise in income tax rates, VAT or national insurance before 2020. This is positive news for investors that pay income tax on their Wellesley investments as an increase will not be seen. Wellesley pay gross tax on the income generated on our Peer-to-Peer terms.
Wellesley & Co operates in a very fast paced industry that often modifies, It is therefore important that both Wellesley investors and borrowers are across all changes that are occurring that may influence the business. Our aim is to update our customers and readers via our social media pages such as Twitter and Facebook, but also via this blog. We also have an experienced Customer Service Team that can offer you further information on the Wellesley Peer-to-Peer platform along with any changes that will affect us and your investment.