28/10/2026
📣 BUDGET 2026: What does it actually mean for you and your business? 💷
Another Budget, another round of changes! 👀
Chancellor John Healey has announced a whole mix of tax changes, wage increases and new rules. So, what are the big things worth knowing?
💼 BUSINESS OWNERS
🔹 Selling your business? Business Asset Disposal Relief (BADR) will have a lower lifetime limit of £500,000, down from £1 million. If you’re planning an exit, it’s time to think ahead!
🔹 Starting a business? A new Founders’ Relief will offer a 10% Capital Gains Tax rate on qualifying lifetime gains of up to £10 million for eligible founders.
🔹 Business rates: Small businesses in retail, hospitality and leisure could benefit from a higher threshold for Small Business Rate Relief, increasing from £12,000 to £18,000.
👩💻 EMPLOYERS
From April 2027, the National Living Wage for workers aged 21 and over is set to rise from £12.71 to £13.21 an hour.
The National Minimum Wage for 18–20-year-olds will also increase, from £10.85 to £11.27 an hour.
That means it’s worth reviewing your payroll costs and business budgets now!
🏡 LANDLORDS & SAVERS
From April 2027, tax rates on property income and savings income are set to rise by a further 2 percentage points, on top of the 2-point increase already announced. That means a total 4-percentage-point increase compared with current rates.
If you receive rental income or earn taxable savings interest, this is one to pay attention to.
🚗 BUSINESS MILEAGE
Higher tax-free mileage rates are set to become permanent, with the rate for the first 10,000 business miles remaining at 55p per mile. The rate above 10,000 miles is set to rise from 25p to 35p per mile.
💰 CASH ISAs
Good news for savers! The planned cut to the annual tax-free Cash ISA allowance has been dropped, so the £20,000 annual limit stays.
📅 LOOKING AHEAD
From April 2029, changes are planned to make Self Assessment tax payments more regular for eligible taxpayers. Direct Debit arrangements will also be required for VAT and PAYE liabilities, subject to exceptions.
And HMRC is set to get stronger powers to recover unpaid tax from people who repeatedly ignore contact.
💜 So, what should you do?
Don't panic, and don't make decisions based on a headline!
The important thing is understanding which changes affect you, your business and your plans — and what you can do about them.
At CFA Tax, we believe in planning ahead, improving profits and helping you make informed decisions. Not just ticking boxes and filing tax returns!
Want to know what these changes mean for your business? Give us a shout. Let's dig deeper. 💜
*Based on the Budget announcements reported on 28 October 2026. Measures may be subject to legislation and further guidance.
