BUSINESSES are still digesting the raft of announcements in George Osborne’s pre-election Budget.

Higher tax thresholds, tax breaks for savers and the end of the annual paper tax return for the self-employed were among the highlights of the chancellor’s statement.

Roger Wareham and Nick Fernyhough, Bournemouth partners with accountants Saffery Champness, were sceptical about the death of the tax return.

In a commentary, they suggested “there will still need to be some kind of annual catch-up point because our tax laws and tax rates are based upon yearly intervals”.

"Millions of people who run informal businesses, or receive rent and dividends for example, will still need to submit their income and other details manually. Those thinking that the government will be able to collect all data effortlessly will be disappointed,” they said.

They criticised the decision to cut the pensions lifetime allowance from £1.25m to £1m, saying the move would “penalise the prudent”.

Marcus Andrews, of Dorset property specialist Goadsby, voiced disappointment that the chancellor did not commit to reforming business rates, although there was a commitment to a review within a year.

“The government made a mistake in not allowing the 2015 re-valuation to take place; that would in a couple of weeks have seen some local traders’ rates bill fall by a third,” he said.

The latest reforms on pension annuities would have a “minimal effect”, according to Kevin Forbes, chairman of the Hampshire and Dorset Region of the Personal Finance Society and a partner in Poole-based Strategic Solutions. He said the changes would mainly affect those on final salary pensions and good salaries.

He welcomed the rise in both basic and higher rate tax thresholds but said the chancellor could have raised the National Insurance threshold instead. “Many people will not realise that they will still be paying, and their employers paying, National Insurance even though they pay no income tax,” he said.

He said the pledge not to tax the first £1,000 in interest on savings might not happen, because it required a vote after the general election. “We would need to see a lot more detail on what counts as savings yet – is it cash only for example?” he said.

“This has the potential to be a generous offer, although again aimed at savers rather than younger families.”

He said the introduction of new ‘help to buy’ ISAs were “a real ‘gift’ to help out first time buyers”.

“As always this will have the opportunity to be spoilt by unscrupulous institutions in what they offer as an interest rate for these types of account,” he added.

He added: “As with all previous budgets, the devil will of course be in the detail that filters out over the next few days and weeks.”