While no one can predict the exact measures, recent analysis1 from the National Institute of Economic and Social Research (NIESR) suggests the government faces significant challenges. The independent think tank forecasts a £41.2bn deficit by 2029/30, raising the possibility of higher taxes, spending cuts, or additional borrowing. Their message is clear – the Autumn Budget may need to include a ‘moderate but sustained increase in taxes’ to stay on track.
For individuals with money held in pensions and investments, this could mean adjustments to tax reliefs and thresholds. Areas to watch include pensions, Income Tax bands, Capital Gains Tax, Inheritance Tax (IHT), Dividend Tax and business owner tax planning. While the details remain uncertain, being prepared can put you in a stronger position when the announcements are made.
Why forward planning matters
When time is short, it can be tempting to wait until the dust settles, but often, small steps taken in advance can help you make the most of existing allowances and avoid last-minute decisions later. A quick review now can highlight opportunities to strengthen your position and keep your wealth working hard for you.
Practical steps to consider now
Even without knowing the Budget outcome, it’s worth reviewing these areas:
- Maximise ISA contributions – ensuring tax-efficient savings are fully used
- Check your pension contributions – are you making the most of today’s tax reliefs?
- Review capital gains – it may make sense to realise gains under current rules
- Revisit your inheritance strategy – now that IHT on unused pensions is to take place from 2027, it’s worth checking how your wealth could pass to loved ones.
These actions don’t need to take long, but they can make a real difference to your long-term financial plan.
For those with larger pensions, investment portfolios or property wealth, the Autumn Budget can carry particular weight. Changes to allowances, reliefs and thresholds often have a greater impact when significant assets are involved. Reviewing how your wealth is structured, both for efficiency today and for inheritance planning in the future ensures you remain well positioned, whatever the Chancellor announces.
Responding to change with clarity
Budgets come and go, and rules will always evolve. What matters most is having a clear, adaptable financial plan that fits your life and goals. With the right guidance, you can make changes efficiently and confidently.
Remember, any changes announced on 26 November may not be implemented immediately, they could come into effect from the new tax year commencing 5 April 2026, or later.
Planning for today, preparing for tomorrow
At this stage of life, it’s about making sure the wealth you’ve built continues to grow and support the future you want, without adding more pressure to your already busy schedule.
By working with your financial planner, you can be confident that whatever the Chancellor announces, your financial plan is designed to flex and keep you on track.
After all, the Autumn Budget is just one moment in time. The real value comes from ongoing, thoughtful financial planning designed around your goals, your family and your future.
1Niesr, 2025