Autumn Budget 2026: What We Know So Far and What to Watch

With government borrowing already £2.3 billion above the OBR forecast by July, all eyes will be on the Chancellor when the Autumn Budget arrives on 28th October 2026.

For taxpayers, landlords and business owners, the big question is what could change and whether there’s anything they should do before Budget day.

But before making any decisions, it’s important to know what’s actually changing and what’s still just speculation. We already know about several tax changes coming over the next few years. Anything else, however, won’t be certain until the Chancellor delivers the Budget.

So, what do we know already, what could change and what should you be thinking about before 28th October?

What Tax Changes Are Already Confirmed?

The Personal Allowance remains £12,570 and the basic rate limit £37,700, with the government having announced that these thresholds will remain frozen until April 2031.

There are also significant changes affecting investment and property income. Dividend tax rates increased for basic-rate and higher-rate taxpayers from April 2026, while separate property income rates of 22%, 42% and 47% apply from April 2027.

Inheritance Tax (IHT) has already changed for business owners too. From 6 April 2026, 100% Agricultural Property Relief and Business Relief are subject to a combined £2.5 million allowance, with qualifying value above this generally receiving 50% relief.

Further changes are coming. From April 2027, most unused pension funds and death benefits will be included within an estate for IHT purposes.

Cash ISA rules will also change from April 2027. For under-65s, the annual Cash ISA limit will fall to £12,000, although the overall ISA allowance will remain £20,000.

The government has now published further details on how this will work, including rules designed to prevent savers getting around the lower Cash ISA limit by holding cash within other types of ISA.

And from April 2029, only the first £2,000 of employee pension contributions made through salary sacrifice each year will be exempt from National Insurance.

Autumn Budget 2026: What Changes Should You Watch?

Key areas to watch include Income Tax, Capital Gains Tax (CGT), Inheritance Tax, pensions and property. While there has been discussion around the Personal Allowance, no further changes have been confirmed.

Could Capital Gains Tax Change?

CGT is an important area for investors, landlords and business owners because it can arise when assets such as shares, investment properties or businesses are sold.

For 2026/27, the main individual CGT rates are currently 18% and 24%, depending on the taxpayer’s circumstances.

Under the current rules, assets inherited following a death are generally rebased to their market value at the date of death for CGT purposes. There have been calls for this treatment to be reformed, although the government has not confirmed that it intends to do so in the Autumn Budget.

If you’re thinking about selling an investment, property or business, it may be worth calculating your CGT exposure now, but avoid rushing a sale just because of Budget speculation.

Could Inheritance Tax and Pension Rules Change?

There are already substantial IHT reforms for taxpayers to consider without anticipating further announcements.

The new £2.5 million Business Relief and Agricultural Property Relief allowance may affect succession planning for owners of valuable businesses and agricultural assets.

Meanwhile, from 6th April 2027, most unused pension funds and death benefits will be included within an estate for IHT purposes. This could have a significant impact on people who were planning to pass on their pension wealth to family members.

Currently, most people can take up to 25% of their pension tax-free, subject to the standard lump sum allowance of £268,275. However, no further changes have been confirmed, so it’s worth waiting to see what, if anything, is announced in the Budget.

Could Property Taxes Change?

From April 2027, the new property Income Tax rates of 22%, 42% and 47% are due to apply.

The government has also announced a High Value Council Tax Surcharge from April 2028 for owners of residential properties in England valued at £2 million or more.

No immediate changes to Stamp Duty Land Tax (SDLT) have been announced, so property owners should be careful not to make decisions based on speculation alone.

SDLT and Annual Tax on Enveloped Dwellings (ATED) remain important costs for relevant property owners, but further Budget changes should not be treated as fact before they are announced.

Now may be a good time for landlords to review ownership structures, future purchases and sales, and the tax efficiency of their wider portfolio.

What Could the Budget Mean for Business Owners?

Alongside Corporation Tax, business owners should consider changes to dividend tax and Business Relief, which could affect how you take money from your business and eventually pass it on.

Anyone contemplating a business sale should understand their potential CGT position before making decisions around the Budget.

How Should You Prepare for the Autumn Budget 2026?

You can’t predict what the Chancellor will announce, but you can make sure you’re prepared. Review your CGT exposure, property portfolio, pension and estate planning, and business tax position, including the impact of changes already confirmed.

Most importantly, don’t make irreversible financial decisions based solely on Budget rumours.

Our View: Keep Planning, Whatever the Budget Brings

With continued pressure on the public finances, our expectation is that the tax burden will continue to rise. The UK faces significant fiscal challenges, so there is no easy fix, and business owners have already had to adapt to a number of changes. That is exactly why planning matters. It is one thing within your control, and even when a plan has to be revisited, continuing to plan and act is better than simply waiting.

We would like to see the government take a long-term approach and create a positive environment for enterprise, without placing further pressure on businesses. That could include taking a closer look at commitments such as the pensions triple lock, offering real incentives to save for retirement, and providing greater certainty for people who have saved diligently for years. We would also welcome a more competitive Inheritance Tax approach to overseas assets held by internationally mobile individuals, helping the UK attract and retain wealth and investment.

- Sumit Agarwal, Director, dns accountants

How dns Accountants Can Help

With all of these tax reforms already confirmed and the Autumn Budget approaching, now is a good time to get your personal or business finances in check.

dns accountants can help with personal and business tax planning, CGT, property taxation, Inheritance Tax and succession planning, helping you distinguish between changes you need to prepare for now and those that remain uncertain.

If you’d like expert guidance ahead of the Autumn Budget 2026, book a consultation or contact us today on 033 0088 3616 or email [email protected].

About the author

Sumit Agarwal
Sumit Agarwal (ACMA ACA India), the Managing partner of dns accountants is a highly respected accountant with expertise in helping owner-managed businesses.