📘 Autumn Budget: Key Tax Changes Every Business Owner Should Be Aware Of

Aleksandar Davidov
Oct 1
2 min read

As the Autumn Budget looms, businesses need to stay alert. While the full details won’t be revealed until the Chancellor’s speech, speculation and reports suggest several tax changes that could meaningfully affect your bottom line.

Here’s a breakdown of what you should be watching closely — and how to prepare:

🔍 What Could Change (or Be Reinforced)

1. Employer National Insurance & Employment Costs

In the 2024 Budget, employer NICs were increased from 13.8% to 15%, and the threshold for when employer NIC is payable was lowered.
Expect continued scrutiny on wage-related costs, minimum wages, and employment incentives for SMEs.

2. Capital Gains Tax (CGT) & Business Asset Disposals

Recent changes raised CGT rates for non-residential assets.
The rate for Business Asset Disposal Relief (BADR) is set to increase: from 10% to 14% for disposals made on or after 6 April 2025, and to 18% from 6 April 2026.
Watch for changes in how gains are measured, anti-avoidance rules, or qualifying conditions.

3. Tax Reliefs, Incentives & Capital Allowances

There’s speculation that incentives for digital adoption, sustainability, or “green” investments may feature prominently.
Capital allowances and R&D reliefs may be tweaked to encourage investment.
Reliefs around inheritance tax, business property relief or agricultural property relief could see changes from April 2026 onward.

4. Freezes, “Fiscal Drag,” and Thresholds

Many believe the government may continue freezing tax thresholds (income tax, capital gains, etc.), thereby increasing the tax burden over time – a phenomenon often called “fiscal drag.”
Personal allowances may remain unchanged for longer periods.

5. New Levies, Wealth Taxes & Property/Asset Measures

Proposals are being floated for new taxes on high-value properties, wealth, or even adjustments to council tax regimes.
Changes to stamp duty, non-dom regimes, or tax on carried interest are also under discussion.

🎯 What You Should Be Doing Now

Model different scenarios: Consider how changes to employer NIC, CGT, or reliefs would affect your cash flow and margins.
Accelerate or delay actions: If you're planning a capital disposal, consider timing it relative to upcoming CGT changes.
Review your investments: Assess whether your equipment, property, or green investments might benefit from new incentives.
Stay flexible: With uncertainty high, avoid locking into rigid financial commitments until after the Budget.
Talk to your accountant: A tailored strategy will help you take advantage of reliefs, plan around rate changes, and avoid surprises.