Could taxes go up in the Autumn Budget? How to be ready…

The Autumn Budget is just around the corner, and naturally, business owners and individuals are wondering: what might change? At Monies by Park Lane Accountants, we keep a close eye on tax changes, so you don’t have to.

Here’s a breakdown of what could be announced, and how it might affect you.

At the last general election, the Labour party pledged not to raise taxes for ‘working people’, promising no changes to income tax, national insurance (NI), or VAT.

While this pledge may feel reassuring, it also limits what Chancellor Rachel Reeves can do to reduce the UK’s economic deficit. With personal taxes largely protected, many commentators suggest that businesses may shoulder the weight of any new tax increases.

So, what could change? And how might it affect you or your business?

Possible Autumn Budget changes

These are purely predictions at this stage, nothing has been confirmed. But here are the areas most likely to see movement:

Personal taxes

• Capital Gains Tax (CGT): Rates could rise, or the already reduced allowance might shrink further. There’s also speculation around extending CGT to high-value property sales.
• Inheritance Tax (IHT): The £325,000 threshold has been frozen since 2009, so lowering it, or tightening gifting rules, could be on the table.
• Income tax thresholds: While rates may stay the same, freezing thresholds could be a form of ‘stealth tax’, pulling more earners into higher brackets.
• Pensions: Possible changes could affect the tax-free lump sum or reduce the efficiency of certain schemes.

Business taxes

• VAT changes: The Chancellor could widen the scope of VAT or lower the £90,000 registration threshold, meaning more businesses would need to register.
• Business rates: While not strictly part of the Budget, rate hikes are still a concern. Some predict a £2.5bn increase in bills, creating a “double hit” for businesses.
• Business Asset Disposal Relief (BADR): Already on the rise (from 10% in April 2025 to 18% in April 2026), further changes could still be in store.

We’ll be keeping a close eye on the Chancellor’s Autumn Budget and sharing the key points once they’re confirmed, especially the changes that matter most to small businesses and individuals.

At Monies by Park Lane Accountants, our goal is to make sense of tax without the jargon. If you’d like to talk tax with our expert team, please get in touch today on hello@mymonies.co.uk