George Square Financial Management shares what could be announced in this year’s Autumn Budget and highlights the areas we’ll be watching most closely.
*Please note: this blog was published on 11 November 2025 before the Autumn Budget. You can read our roundup of some of the key measures that were announced here.
Chancellor Rachel Reeves is expected to deliver the Autumn Budget 2025 on Wednesday 26 November, alongside updated economic forecasts from the Office for Budget Responsibility (OBR). Below, we explore some of the potential areas of focus.
1. Pension rules
A confirmed change already on the horizon will bring most unused pension funds within the scope of Inheritance Tax (IHT) from 6 April 2027. The detailed rules have yet to be finalised, but it’s clear that careful planning will be key to minimising any future impact.
If you hold substantial pension savings or wish to pass pension benefits to beneficiaries, it may be worth starting discussions now about how best to prepare for the 2027 changes.
2. Wealth and property taxation
There has been continued speculation about measures aimed at very high-value property or those with significant wealth. Possibilities include new property levies, extra council tax bands at the upper end, or a tightening of existing reliefs.
So far, no firm proposals have been outlined, and any adjustments to thresholds or rates remain uncertain. However, this is an area likely to attract political attention as the government looks for ways to balance fiscal pressures.
3. Capital Gains Tax and Inheritance Tax
Capital Gains Tax (CGT) has been repeatedly highlighted by commentators as a potential target for reform, with a report in The Guardian claiming that the Treasury could increase rates by “a few percentage points”.
IHT was a significant focus in the last Budget, with new measures impacting farms and family businesses as well as pension pots. Further measures could be on the cards this year, with the Treasury reportedly considering tightening up gifting rules. This could involve introducing a cap on the total value of lifetime gifts or changing the rules on taper relief (also known as the seven year rule).
4. ISAs and savings incentives
There has been some press discussion about potential updates to ISA allowances, particularly around Cash ISAs, with the Financial Times recently reporting that the Chancellor is looking at a £12,000 cap, though a £10,000 cap has not been ruled out.
Any changes to contribution limits or tax-free rules would typically be signposted well in advance and implemented gradually. For now, savers should avoid making hasty decisions; it’s best to wait for clarity before adjusting investment or savings strategies.
5. National Insurance and income tax
The Labour Party’s 2024 manifesto committed to not increase the rates of Income Tax, National Insurance (NI) or VAT for “working people”. However, media reports suggest the Chancellor may revisit some of these commitments in the face of a potential £20-30 billion hole in public finances. Commentators are highlighting options such as freezing income tax and NI thresholds or shifting the balance between the two as ways to raise revenue without overtly increasing headline rates.
Should any of these measures be adopted, they could affect take-home pay or employer costs, so reviewing cash-flow and employment structures once the Budget details are published would be prudent.
What these potential changes could mean for you
- Those with large estates or pension savings: Changes to IHT or pension taxation could affect estate plans. It may be sensible to revisit wills and gifting strategies once the details are confirmed.
- Property owners and investors: Possible revisions to property or wealth taxation could impact yields and portfolio values, making periodic reviews worthwhile.
- Savers and investors: While ISA changes remain unconfirmed, reviewing your current savings structure with an adviser can ensure you’re well positioned for any future reform.
Should any of these measures be adopted, they could affect take-home pay or employer costs, so reviewing cash-flow and employment structures once the Budget details are published would be prudent.
Preparing for the Autumn Budget 2025
At George Square Financial Management, we’ll be monitoring the Autumn Budget on 26 November closely. Once the Chancellor’s announcements are made, we’ll publish a clear summary outlining the confirmed measures, who they affect, and the practical next steps for our clients. Follow us on our social media channels to stay up to date.
If you believe any of the potential changes could affect your financial plans, please do get in touch. Our advisers can help you understand the possible implications and keep your long-term strategy on course.
To speak to one of our independent advisers, please call us on 0115 947 5545 or send us a message here.