The Autumn Budget 2026 has introduced several changes that could affect your savings, pensions, investments, property plans and day-to-day finances.
With some measures taking effect from April 2027, now is a good time to understand what the announcements could mean for you.
Key changes to be aware of
Savings and ISAs
The £20,000 annual ISA allowance will remain unchanged, following the decision to scrap the proposed reduction to Cash ISA limits. However, tax rates on savings income will increase by a further two percentage points from April 2027, making tax-efficient savings options increasingly important.
Pensions and retirement
The full New State Pension will increase by 3.9% to £13,036.40 a year from April 2027. A new Pension Tax Allowance will also be introduced to help people who have reached State Pension age and have lower overall incomes.
Changes to pension death benefit rules have also been announced, while previously announced Inheritance Tax changes affecting unused pension funds are expected to come into effect from April 2027.
Investments
There are no changes to the main personal Capital Gains Tax rates or annual exempt amount. However, the lifetime limit for Business Asset Disposal Relief will reduce from £1 million to £500,000 from April 2027.
With changes to savings taxation also on the horizon, it is worth reviewing how your savings and investments are structured and whether you are making full use of available tax-efficient allowances.
Mortgages and first-time buyers
A new government-backed equity loan scheme, Your First Home, will help eligible first-time buyers in England purchase new-build properties with deposits as low as 2.5%, supported by a 20% government equity loan. The loan will be interest-free for the first five years.
A new First-Time Buyer ISA is also planned for April 2029, replacing the Lifetime ISA for new savers.
Household finances
Eligible households in council tax bands A to D in England will receive a £100 Household Energy Payment from January 2027 to help with energy costs. The National Living Wage will also increase to £13.21 an hour for workers aged 21 and over from April 2027.
What should you do next?
Although not all changes will happen immediately, the Budget is a timely reminder to review your financial arrangements.
You may benefit from reviewing your pension contributions, savings, investments, mortgage and wider tax planning to ensure everything remains appropriate for your circumstances and future goals.
How we can help
Every individual's financial circumstances are different, and the impact of the Budget will vary from person to person.
As independent financial advisers, we can help you understand the changes and consider whether your existing financial plans need adjusting.
If you would like to discuss how the Autumn Budget could affect you, please get in touch with our team.
This article is for information purposes only and does not constitute personal financial advice. Tax treatment depends on individual circumstances and may change. Some measures remain subject to legislation and further guidance. Investments can fall as well as rise in value, and you may get back less than you invest.
