Read the full report

With dire economic forecasts and predictions of a large hole in the country’s finances, this has been a more frenzied run up to any Budget that we can recall; indeed, the scolding by the Deputy Speaker of speculation about the Budget before the Chancellor’ speech, coupled with the alarming own goal by the Office for Budget Responsibility in releasing its report prematurely, added to the sense of chaos.

Rachel Reeves offered little in the way of positive news (the increases in EIS, VCT and EMI being the high point). Thereafter, we were into the expected tax rises, and the amounts estimated to be raised as a result are eye watering – an additional £26bn in 2029/30 alone!

Whilst you can play around with the words, the Chancellor does appear to have broken her manifesto pledge not to raise income taxes, with the additional 2% income tax charge on dividends, interest and property income. As seems to be a recurring theme, fiscal drag continues to be the bug bear of a generation, albeit it was pleasing to see that Capital Gains Tax and Inheritance Tax was spared any further tinkering after the substantial changes Reeves announced previously.

For businesses, the increase in the limits for EIS, VCT and EMIs will aid investment and employee retention. However, increases to the national minimum wage and limiting Employers’ NIC savings on salary sacrifice pension contributions, as well as the reductions to the rate of writing down allowances for capital allowances, will increase operational costs in the future.

Many of the changes announced will be staggered over the next four years. There is time to take stock, and we shouldn’t lose sight of changes from previous Budgets, which are another year closer to coming into effect; particularly, those effecting Inheritance Tax on pensions and business property. Preparation and planning have never been more relevant.

Read full details of the effects of the changes on individuals and businesses here: Autumn Budget 2025