Chancellor Kwasi Kwarteng has today (23 September) announced a ream of tax cuts alongside a \u00a360bn energy support package as part of the new government\u2019s first mini-budget.\r\n\r\nSetting out his aims for economic growth, Kwarteng said that he wants the economy to increase by 2.5% annually in the medium-term, through a mix of tax incentives and reform.\u00a0\u00a0\r\n\r\nAs part of the new mini-budget, the chancellor announced widespread tax cuts to help boost the economy. He confirmed that the proposed rise in corporation tax will be scrapped, and will not rise to the previously proposed 25% but instead remain at 19%.\u00a0\u00a0\r\n\r\nThe chancellor said this would mean the UK has the lowest rate of corporation tax in the G7, adding that the move will put \u00a319bn back into the economy.\u00a0\r\n\r\nThe 45% higher rate of income tax will also be abolished under the new chancellor, and will instead be replaced with a single higher rate of 40%, meaning 31 million people will be better off by an average of \u00a3170 per year. The basic rate of income tax will also be cut to 19% from April next year.\u00a0\r\n\r\nAs previously announced by the government, the chancellor also confirmed that the recent increase in National Insurance will be reversed from November. The Treasury said the change would save nearly 28 million people an average of \u00a3330 per year.\r\n\r\nMeanwhile, a cap on bankers\u2019 bonuses will be scrapped as the current restrictions \u201cdo not work\u201d. He said the move would encourage banks to both work and pay tax in the UK.\r\n\r\nIn his first mini-budget, Kwarteng also set out a series of measures to help households and businesses amid the rising cost of energy. An energy price guarantee will see domestic bills frozen at \u00a32,500 in a bid to support households against rising energy costs.\u00a0\r\n\r\nThis will see household energy bills cut by around \u00a31,400 this year, while millions of the most vulnerable people will reportedly receive additional payments that take their total yearly savings to \u00a32,200.\u00a0\r\n\r\nThis comes alongside the energy bill relief scheme that was announced yesterday, which is set to cap wholesale energy bills for businesses for an initial six-month period from 1 October.\u00a0\r\n\r\nThe chancellor said he expects the cost of the energy bills support package to cost \u00a360bn, but the price is uncertain due to international prices. His statement comes down as the government negotiates with new long-term energy contracts with suppliers, and that the plan will reduce peak inflation by 5%.\r\n\r\nElsewhere, Kwarteng introduced 40 new investment zones that will be set up across the UK. The zones will be allowed to reduce business taxes to help encourage investment in these areas.\u00a0\r\n\r\nIn addition, VAT-free shopping will be introduced for overseas visitors, while planned increases in the duty rates for beer, cider, wine and spirits will all be cancelled.\r\n\r\nStamp duty reform was also a focus of the mini-budget. The level at which house buyers start paying stamp duty will double to \u00a3250,000 to \u201csupport growth, increase confidence, and help families aspiring to own their own home\u201d.\r\n\r\nThe threshold for first-time buyers will also be increased from \u00a3300,000 to \u00a3425,000, and\u00a0 the value of the property purchased by first-time buyers will be able to claim relief from \u00a3500,00 to \u00a3625,000.