Balance Briefing: Autumn Budget 2025
What it could mean for you
The Autumn Budget brought several updates that may affect pensions, tax, savings and wider financial planning.
We’ve summarised the 10 key changes in a video, so you can understand what was announced and what might require attention. If you’d like to explore how these updates could affect your own financial plan, you can book a Budget Impact Call with one of our planners.
Our latest update
This month’s Balance Briefing breaks down the 10 most significant points from the Autumn Budget: what’s changing, who may be affected, and what might be worth considering over the coming months.
Key insights
ISA changes
From April 2027, the Cash ISA limit for under-65s will fall to £12,000. The overall £20,000 allowance remains, meaning the remaining £8,000 must be invested. Over-65s are unaffected, and Lifetime/Junior ISA limits stay unchanged until 2031. We’ll help you understand how these ISA changes could influence your savings and long-term plans.
Dividend, savings and rental tax
From April 2026, dividend tax rates for basic and higher-rate bands will rise by 2%, while the additional-rate dividend tax remains unchanged. Savings and rental income tax rates will increase by 2% from April 2027. We’ll explain what these increases could mean for your investments and income and how to stay tax-efficient.
Salary sacrifice
National Insurance savings on salary-sacrificed pension contributions will be capped at £2,000 per year from April 2029. We’ll help you understand how this could affect your pension funding and what options may be available.
Income tax
The personal allowance and income tax thresholds will remain frozen until 2031, gradually pulling more people into higher tax bands. We’ll help you plan ahead so your tax position remains as efficient as possible.
If you'd like clarity on what this means for you
The Budget changes won’t affect everyone, but they may influence your tax position, retirement plans or the most efficient way to invest.
If you’d value personalised guidance:
Please note: This update is not financial advice and is provided for information only. You should not take any action before speaking to a Financial Planner, who will confirm what suits you. Past performance is no guarantee of what will happen in the future.