Autumn Budget 2026

Please find below our summary of the Autumn Budget delivered by the Chancellor, John Healey, on Wednesday 28 October.

Among the wide range of measures were:

• An additional two percentage points increase for tax rates on savings income and property income from 2027/28 for basic, higher and additional rate taxpayers. Dividend tax rates will be unchanged.

• A new pensions tax allowance will be introduced for three years to remove pensioners with income equal to no more than the new state pension from the tax net.

• The restriction on the cash ISA limit for savers under 65 has been reversed.

• A new First Time Buyer ISA will be introduced from April 2029 and will replace the lifetime ISA (LISA) which will continue, with a small reduction in the penalty charge for property buyers who breach the £450,000 purchase price cap.

• To help with increased home energy costs, a one-off £100 energy payment will be given to households in council tax bands A to D.

• Standing charges on domestic gas use will be removed during 2027, or as soon as possible thereafter, with the fees shifting onto unit prices instead.

• The trading allowance will be tripled to £3,000 from 2027/28.

• Capital allowances will see an increase to the main first year allowance from 40% to 50% from 1 January 2027, but a cut to the main writing down allowance from 14% to 12% from April 2027.

• The business assets disposal relief limit will be halved to £500,000 from April 2027, while a new Founders’ Relief will be introduced with a £10 million limit “for qualifying founders of high-growth, innovative companies”.

Our Budget summary highlights the key aspects likely to affect you. If you have any questions about what you should do next, please get in touch.

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