The Autumn Budget combines support for household bills and high street businesses with higher taxes on savings and property income. For business owners, landlords and families, the practical impact will depend on which measures apply and when they begin.
Here we look at the announcements most likely to affect your finances.
Higher tax on savings and property income
- Income from property and savings will be subject to an extra 2p in the pound from April 2027, on top of the extra 2p announced last year. From 6 April 2027, the basic, higher and additional rates will be 24%, 44% and 49%. The savings rates apply across the UK; the property income rates apply in England, Wales and Northern Ireland.
- Cash ISAs: the annual subscription limit will remain at £20,000.
- Bank surcharge: the Bank Corporation Tax Surcharge will temporarily increase from 3% to 6% from 1 January 2027 to 31 March 2028.
Higher property income taxes could put pressure on landlords' returns, but any effect on rents will depend on local conditions and individual decisions. The effect of the bank surcharge on mortgage pricing and product availability also remains uncertain.
Relief for small businesses and the high street
- Trading Allowance: increases from £1,000 to £3,000 from 6 April 2027.
- Business rates relief: from April 2027, qualifying retail, hospitality and leisure properties in England will receive full relief up to a rateable value of £18,000 (previously £12,000), with tapered relief up to £21,000 (previously £15,000). Around 70,000 additional businesses are expected to pay no business rates. Pubs, live music venues and social clubs will receive additional support.
- Manufacturing energy bills: the British Industrial Competitiveness Scheme will provide a 20–25% electricity discount for around 10,000 energy-intensive firms from April 2027, including a back payment for 2026–27.
Support with household bills and transport costs
- Electricity VAT: the temporary cut is extended to July 2027, with an estimated £50 reduction in the annual Ofgem price cap in April 2027.
- Household Energy Payment: £100 payments from January 2027 for households in England in council tax bands A–D. Devolved governments will receive funding for their own support.
- Gas standing charges: Ofgem has been asked to remove them by the end of 2027 or as soon as possible afterwards. Costs would move into unit rates, with targeted mitigation; this is not a guaranteed £100 saving for every household.
- Fuel duty: the 5p cut and freeze, alongside the HGV road tax holiday, are extended to 1 July 2027.
- Food and drink: temporary tariff reductions will apply to more than 100 products.
- Pay and mileage: higher minimum wage rates and increased tax-free business mileage rates will affect workers and employers.
Housing and first-time buyers
- Your First Home: proposed 20% equity loans for eligible first-time buyers in England who would otherwise be unable to buy a home, with deposits of 2.5–15%. Household income caps will be £110,000 outside London and £140,000 in London. Property price caps will reflect local authority median prices, with limits of £650,000 in inner London and £500,000 in outer London. The scheme is expected to help around 70,000 households and support an estimated 20,000 new homes.
- Building regulations: no major changes are planned for the remainder of this Parliament, except for continuing safety improvements and consideration of proportionate changes that support development.
Pensions, carers and parental support
- State Pension: from April 2030, the adjusted Triple Lock will use the highest of 2.5%, inflation, or the amount needed to maintain the pension's value relative to earnings at the level reached in April 2029.
- Carer's Allowance: a 100% taper on earnings above the weekly limit is planned for England and Wales during 2030–31, replacing the abrupt loss of entitlement.
- Parental allowance: planned from April 2029 in Great Britain for eligible self-employed fathers, partners and adopters, and some people who do not qualify for statutory paternity or adoption pay. Sufficient work and earnings history will be required.
Investment and access to finance
- British Business Bank: an additional £5 billion of financial capacity for equity investment, venture debt and community lenders.
- National Wealth Fund: an additional £15.4 billion of capital, including £2 billion for the Energy Wealth Fund.
- Technology: further investment in UK AI businesses, AI safety, biosecurity and cyber defences. Access to support will depend on the terms of the relevant programmes.
What to review now
The measures begin on different dates. Start with the changes relevant to your circumstances:
- Business owners: review payroll costs, business rates eligibility, mileage policies and cash flow.
- Landlords and savers: assess your expected tax position from April 2027 and plan for future payments.
- Families and first-time buyers: check eligibility and start dates for the relevant support.
At Lowe & Company Chartered Accountants, we can help you understand how the announcements affect your business and personal finances, and build the relevant changes into your plans.
Based on announcements available on 28 October 2026. Measures with future start dates remain subject to legislation and implementation details where applicable.