What could the 2026 Autumn Budget mean for your finances?

Every year, the run-up to the Autumn Budget brings speculation about what might change and how it could affect your finances. This year is no exception.

Chancellor John Healey is due to deliver the Autumn Budget on 28 October 2026. Following his speech on 7 September, attention has turned to whether tax changes could feature in the Autumn Budget after the Chancellor declined to rule out potential tax rises ahead of the Budget announcement.

Against a backdrop of higher borrowing costs and continued pressure on public finances, speculation has grown around where the Government may seek additional revenue. Commentators have pointed to areas such as capital gains tax, pensions, inheritance tax and property taxation as possible areas for future reform, but these remain speculative and no new Budget measures have been confirmed.

As always, Budget outcomes remain uncertain until measures are formally announced. This article highlights areas currently being discussed, alongside rules that are already in place, to help you consider where a review of your financial arrangements may be worthwhile.

Why tax changes are being discussed?

The Government faces a difficult balancing act.

The Government has previously stated that it does not intend to increase the main rates of Income Tax, VAT or National Insurance, leading some commentators to focus on other areas of taxation when considering potential Budget measures.

At the same time, higher borrowing costs are increasing the cost of servicing the UK’s national debt, reducing the Government’s flexibility when it comes to managing the public finances.

Against this backdrop, many tax commentators believe policymakers could continue to focus on wealth, investments, pensions and property when considering future tax policy options. However, these are discussion points only and no specific new measures have been announced.

Could Capital Gains Tax rise?

Capital Gains Tax (CGT) is one of the areas receiving attention ahead of the Autumn Budget.

CGT is paid when you sell or dispose of certain assets that have increased in value, such as shares, investment funds or property that is not your main residence.

Some commentators have suggested that CGT could remain an area of focus for future tax policy discussions. This is speculation only and no new CGT changes have been announced for the Autumn Budget.

The annual Capital Gains Tax (CGT) allowance has reduced significantly in recent years. For the 2026/27 tax year, the annual exempt amount is £3,000 for individuals and personal representatives. As a result, more people may now be liable to pay tax on investment gains than in previous years.

What could this mean for you?

If you are already considering selling assets that have made substantial gains, it may be worth reviewing your options with a financial adviser.

However, decisions should always be based on your wider financial plans rather than Budget speculation alone.

Could inherited assets face larger tax bills?

Another area attracting attention is the future of the Capital Gains Tax uplift on death.

Under current rules, many assets inherited by beneficiaries receive a new market value for CGT purposes at the date of death. This effectively removes any gain accumulated during the original owner’s lifetime.

Some commentators have suggested this treatment could be reviewed in future, but no change has been confirmed.

If such a change were introduced, beneficiaries could face Capital Gains Tax on growth accumulated over many years when they eventually sell inherited assets. However, this remains a hypothetical scenario unless future policy changes are formally announced.

Why does this matter?

For families with investment portfolios, property holdings or valuable assets, any changes could affect long-term estate planning and how wealth is passed between generations.

While no changes have been announced, the discussion highlights the importance of regularly reviewing inheritance plans.

Could changes be made to pension tax-free cash?

Many people currently have the option to take up to 25% of their pension as a tax-free lump sum when accessing retirement savings, subject to various limits.

This benefit often features in pre-Budget speculation, and this year is no exception. At the time of writing, no change to pension tax-free cash has been confirmed.

No change to pension tax-free cash has been announced. Any possible reform remains speculation unless confirmed in the Budget.

What could this mean for you?

If retirement is approaching, it may be worth reviewing your pension plans now to understand your options and ensure your retirement strategy remains aligned with your objectives.

What should families know about inheritance tax?

Inheritance tax continues to be an important consideration for many families.

The nil-rate band, which determines how much can be passed on before inheritance tax may become payable, remains frozen at £325,000. The residence nil-rate band can provide an additional allowance of up to £175,000 for qualifying family homes passed to direct descendants, subject to the relevant conditions.

However, house price growth and increasing asset values mean more estates are potentially being brought within the inheritance tax net.

Separately, changes that have already been announced mean that most unused pension assets are due to become subject to inheritance tax from April 2027.

There is also ongoing speculation that certain inheritance tax reliefs for business and agricultural assets could be reviewed in the future, but no further changes have been confirmed.

What could this mean for you?

If your long-term plans involve passing wealth to children, grandchildren or other beneficiaries, it may be sensible to review your estate planning arrangements to ensure they remain appropriate.

How could frozen tax thresholds affect you?

Not all tax increases come through higher tax rates.

Income tax thresholds are currently frozen until April 2031. As wages rise through inflation, pay reviews or promotions, more people may find themselves moving into higher tax bands.

This process is commonly known as fiscal drag.

For example, someone receiving a pay rise could find that a greater proportion of their income becomes subject to higher-rate tax, despite no official change to tax rates.

Are there ways to reduce the impact?

Depending on your circumstances, pension contributions, salary sacrifice arrangements and charitable donations may help improve tax efficiency while supporting your wider financial goals.

Financial advice can help you understand how changes to tax thresholds or allowances may affect the money you keep, save and invest. An adviser can look at your income, pension contributions and wider goals together, identify suitable ways to use available allowances and help you avoid making isolated decisions that could have unintended consequences elsewhere in your finances. This can give you a clearer plan for managing your tax position while keeping your longer-term priorities on track.

Could property taxes change?

Property taxation is another area frequently highlighted by commentators in discussions about potential future tax reform. However, no property-related measures have been announced at this stage, so any possible changes remain speculative.

What could this mean for you?

If you have property held through a company structure or own multiple properties, it may be worthwhile to keep developments under review.

Is a wealth tax likely?

A wealth tax continues to generate political debate, but there is currently no confirmed proposal to introduce one in the near future.

While some politicians and campaign groups argue that wealth should be taxed more heavily, others question whether a wealth tax would raise the revenue supporters expect.

Although many commentators believe a standalone wealth tax remains unlikely in the short term, this remains a matter of debate rather than confirmed policy. The discussion does, however, highlight the increasing focus on how wealth, investments and assets are taxed in the UK.

Five areas you may wish to review ahead of the Budget

Rather than reacting to headlines, consider using the period before the Budget to review your wider financial position.

1. Investments and capital gains

Review investments held outside ISAs and pensions and understand your potential Capital Gains Tax exposure.

2. Your pension strategy

Make sure your retirement plans remain aligned with your goals and understand how future pension rule changes could affect you.

3. Estate planning arrangements

Review wills, inheritance tax planning and any strategies designed to pass wealth efficiently to future generations.

4. Your income position

If your income is close to a key tax threshold, consider whether there are opportunities to improve tax efficiency.

5. Property ownership structures

If you own property through a company or more complex arrangements, ensure you understand the potential implications of future tax changes.

Final thoughts

At the time of writing, most of the measures being discussed ahead of the Autumn Budget remain speculation. Some may eventually be announced, while others may never materialise.

The most effective financial planning is rarely about reacting to Budget headlines. Instead, it is about ensuring your finances are structured in a way that can adapt to changing tax rules and economic conditions over time.

If you are unsure how current tax rules or any future changes may affect your circumstances, professional financial advice can help you understand your options and ensure any decisions are aligned with your wider financial goals.

HM Revenue and Customs practice and the law relating to taxation are complex and subject to individual circumstances and changes which cannot be foreseen.

An ISA is a medium to long term investment, which aims to increase the value of the money you invest for growth or income or both. The value of investments and any income from them can fall as well as rise and you may not get back the original amount invested.

Past performance is not a guide to future performance and should not be relied upon.

Approved by 2plan wealth management on 21/09/2026.

Albon Financial Planning Ltd is an appointed representative of 2plan wealth management Ltd, which is authorised and regulated by the Financial Conduct Authority. Albon Financial Planning Ltd is entered on the FCA Register under number 1018192. Registered office: 6 Station Road, Letchworth, SG6 3AU. Registered in England and Wales. Company number 15645059.