There are no increases in income tax, National Insurance (NI), or VAT rates. However, thresholds for income tax and NI are frozen until at least April 2031, meaning as incomes rise with inflation, more people will be pushed into higher tax bands. This effect, known as "fiscal drag," could add nearly 1 million more higher-rate taxpayers over the freeze period.Additionally, new taxes include a council tax surcharge on homes over £2 million, a per-mile charge of 3p from 2028 on electric vehicles, and higher taxation on dividends, savings interest, and property income.Remember, tax treatment depends on your individual circumstances and may be subject to change in the future.

What’s changed with ISAs, pensions, and savings?

From April 2027, the annual cash ISA allowance will reduce from £20,000 to £12,000. The Stocks and Shares allowance remains at £20,000, so investors can still use the full limit for investing. Adults aged 65+ will continue to have a full £20,000 cash ISA allowance. Pension salary sacrifice schemes will be limited: contributions above £2,000 will no longer receive NI relief from 2029. Dividend income tax rises by 2 percentage points, and savings interest tax increases across all bands from April 2027. Remember, tax treatment depends on your individual circumstances and may be subject to change in the future.

Have any changes been made to the way I save in my pension?

From April 2029, the Government will introduce a £2,000 annual cap on pension contributions made through salary sacrifice. Any salary-sacrificed pension contributions above £2,000 per year will be treated as standard employee pension contributions for tax purposes.Remember, tax treatment depends on your individual circumstances and may be subject to change in the future. Also, we refer to the tax rate and thresholds set for England and Northern Ireland, these may differ for the devolved nations of Scotland and Wales.

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Autumn budget 2025

Autumn Budget 2025

Whether you're planning ahead or reviewing the latest changes, our Autumn Budget hub is here to help. Discover clear insights, practical guidance, and expert commentary on what the Budget could mean for your financial future.

If the announcements have raised questions about your own plans, speaking to a financial adviser could help bring clarity. All meetings up to and including the presentation of your financial plan are free. You’ll only pay if you choose to proceed with our recommendations.

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Autumn Budget 2025: What you need to know

The Chancellor’s Autumn Budget sets the tone for the year ahead, with changes that could impact your financial plans. We’ve highlighted the key updates to help you understand what they mean for you.

Read the full Budget summary

Tax thresholds frozen

Personal tax and employer National Insurance contributions thresholds to be frozen for three years from 2028 to 2031

Changes to ISA allowance

ISA allowance remains at £20,000 but cash ISA allowance reduced to £12,000 for under 65s

Salary sacrifice

From 2029, a £2,000 cap on salary sacrifice into pensions will be introduced

Income tax

No change to income tax

Mansion tax

A council tax surcharge on properties worth over £2m

Property

Increasing the tax rates on dividends, property and savings income by 2 percentage points

How we can help

Personalised financial plan

Our advisers will work with you to build a tailored financial plan that reflects your goals and adapts to any changes introduced in the Autumn Budget.

Cash flow modelling

We'll help you visualise your financial future with a bespoke timeline of unique life milestones, and how you could reach them with confidence and clarity.

Specialist expertise

From tax and legal advice to will-writing, we connect you with trusted partners to help you respond to policy changes and make informed decisions about your financial future.

Ongoing support

Through our Ongoing Advice Service (available at an additional cost), we offer regular check-ins to keep your plan aligned with your goals and help you adjust as life changes.

Understanding Budget jargon

The Autumn Budget often brings a wave of financial jargon. To help you cut through the noise, here’s a quick guide to the key terms you’re likely to hear and what they really mean for your money.

Fiscal drag

Inheritance tax
Taper relief
Capital gains tax
Wealth tax
Stamp Duty Land Tax
Pension tax relief

Fiscal drag

Fiscal drag happens when tax thresholds are frozen and wages rise, often due to inflation or pay increases. This means more of your income can fall into higher tax bands, increasing your overall tax liability without any deliberate change in tax policy.

It’s a subtle but powerful way the government can collect more tax revenue, and it’s something to watch out for, especially if you’re close to a tax band threshold.

Fiscal drag

It’s a subtle but powerful way the government can collect more tax revenue, and it’s something to watch out for, especially if you’re close to a tax band threshold.

Fiscal drag

Inheritance tax
Taper relief
Capital gains tax
Wealth tax
Stamp Duty Land Tax
Pension tax relief

Fiscal drag

It’s a subtle but powerful way the government can collect more tax revenue, and it’s something to watch out for, especially if you’re close to a tax band threshold.

Fiscal drag

It’s a subtle but powerful way the government can collect more tax revenue, and it’s something to watch out for, especially if you’re close to a tax band threshold.

Your questions answered

The Autumn Budget can bring changes that affect everything from your tax bill to your retirement plans. Here are answers to some of the most common questions clients are asking.

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Autumn Budget 2025