Budget Speculation: What Might Change on 26 November?
With the Autumn Budget set for 26 November, speculation is rife over possible tax moves. After a rocky first year and weak economic data, the government faces pressure to raise revenue while keeping its election pledge not to increase income tax, NI, or VAT for “working people.”
Here are five likely areas of focus:
Frozen thresholds – Tax thresholds are already frozen until 2028, but extending this would contradict previous promises not to hit earners.
Mansion tax – A possible annual levy on homes worth over £500,000, floated as a replacement for stamp duty, though still speculative.
Capital gains tax (CGT) – Further hikes, potentially aligning CGT with income tax, could be introduced immediately to prevent asset sell-offs.
NI on retirement income – A controversial move that risks angering pensioners, especially after the winter fuel payment backlash.
Inheritance tax (IHT) – Changes to allowances or gift rules could be on the table, though unlikely to deliver quick revenue.