The Autumn Budget is on Wednesday 28 October 2026. Chancellor John Healey will deliver his first Budget, and the date was confirmed by HM Treasury in a letter to the Treasury Select Committee on 31 July 2026. The statement is expected at around 12:30pm UK time, after Prime Minister’s Questions.
That gives business owners in Richmond and South West London two working days to get ready. Two days is not enough to rebuild a tax plan. It is plenty of time to get your facts straight, so Wednesday’s headlines do not push you into a rushed decision.
We at Pivot Cloud are taking the same approach with our clients this week. Separate what is already decided from what is still unknown. Act on the first group. Watch the second group, and do nothing irreversible on a rumour.
What is already decided
A surprising amount of what affects your business next year has nothing to do with Wednesday. It is already law or announced policy.
First, the headline rates. The government has said it will not raise the headline rates of income tax, VAT or employee National Insurance, in line with its 2024 manifesto pledge. That is the reason most Budget speculation focuses elsewhere. It is not a promise that no tax bill will rise, because frozen thresholds can still raise the amount you pay.
Second, frozen thresholds. The personal allowance stays at £12,570 and the higher rate threshold stays at £50,270, frozen until April 2031. This is fiscal drag in plain terms. As pay rises, more income is taxed and more people are pulled into higher bands, even though the rates have not changed. If your salary or drawings have risen this year, check which band you are now in.
Third, three changes already set for 6 April 2027:
- Tax rates on savings income and property income rise by 2 percentage points, to 22%, 42% and 47% across the bands. This matters if you hold business cash in a taxable account or let property alongside your main business.
- Unused pension funds come within inheritance tax for deaths on or after that date. This changes estate planning, and how pension planning should be reviewed. Our retirement tax planning guide explains the current position.
- The Cash ISA limit falls to £12,000 a year for savers under 65, while the overall ISA allowance stays at £20,000. Savers aged 65 and over keep the £20,000 Cash ISA limit.
Fourth, business rates. Permanently lower multipliers for eligible retail, hospitality and leisure properties with rateable values below £500,000 were introduced from April 2026, alongside transitional support after the 2026 revaluation. If you run a shop or cafe on a Richmond high street, your 2026/27 bill already reflects that system. Wednesday is a moment to watch for further detail, not the day the system is invented.
None of this needs Wednesday’s speech to be true. Build your planning around these facts first.
What is not decided
Everything else is, at this stage, unknown. The contents of the Budget have not been announced. Press reports about possible measures are speculation, not policy, and speculation has a poor record in Budget week. Measures that are widely predicted often do not appear, and those that do often differ in detail from the rumour.
That matters because some business decisions cannot easily be undone. Taking a large dividend, withdrawing pension money early, or selling an asset purely because a headline suggested a tax rise may be coming is a gamble, not planning. If the rumour proves wrong, you have paid tax or lost flexibility for no reason.
Our rule for this week is simple. If a decision makes sense for genuine business reasons, bring it forward only after advice. If it only makes sense because of a rumour, wait for the official documents.
Your five point checklist before Wednesday
1. Know your current position
Write down, in one page, where your business stands today: structure, year end, salary and dividend mix, VAT position, and expected profit. You cannot judge a Budget announcement without a baseline.
2. Check your allowances for this tax year
The allowances for 2026/27 are already set. Review the pension annual allowance, the ISA allowance, and capital allowances on planned purchases. Do not rush to use an allowance simply because it exists. Use it if the underlying decision is right, and check the timing with us first.
3. Tidy your records and your cash flow forecast
Budget week is a poor time to discover that your books are three months behind. Make sure your records are up to date, your bank position is clear, and you have a cash flow forecast to at least April 2027. That forecast lets you test a Wednesday announcement on cash, not just on a headline rate. Our VAT and MTD page sets out the compliance basics.
4. List the decisions you are holding
List decisions you have been putting off: a new hire, a second premises, a vehicle purchase, a change of structure. Mark each one urgent, this tax year, or next tax year. On Wednesday, work through the list against confirmed measures only. Anything that depends on a rumoured measure stays on hold.
5. Decide how you will hear the news
Budget day produces a flood of instant reaction, much of it before the detail is published. The speech is only the summary. The Treasury documents published afterwards contain the start dates, thresholds and exceptions that decide what actually applies to you. We will read them before we advise any client to act. Wait for the detail, then act once.
The do not list
Do not rush a dividend because of a rumour about dividend tax. Dividend rates already rose by 2 points from April 2026, to 10.75% for basic rate and 35.75% for higher rate taxpayers, and any further change is unconfirmed.
Do not withdraw pension money early because of a rumour about pension tax. Withdrawals can trigger tax charges and affect your annual allowance, and the decision is very hard to reverse.
Do not sell a business asset in a hurry because of a rumour about capital gains tax. Timing, reliefs and price matter far more than a headline, and a rushed sale can cost more than the tax it was meant to avoid.
Do not sign a long lease or commit to a major purchase on Budget week speculation alone. These are multi-year commitments, and they deserve a decision based on confirmed rules and a proper cash flow forecast.
If you are starting out, the same discipline applies. Our starting a business guide covers the tax choices that matter at that stage, from VAT registration to Corporation Tax, and none of those basics change because a Budget is two days away.
What to watch for on Wednesday
When the Chancellor sits down, listen for four things. First, start dates: a measure that starts on Budget day differs greatly from one starting in April 2027. Second, thresholds and caps: the headline rarely contains the key number, but the documents do. Third, your specific sector: a change to business rates, VAT or employment costs can matter far more to a small Richmond business than a measure aimed at large companies. Fourth, what does not change: confirmation that a rumoured change is not happening can itself release a decision you have been holding.
After Wednesday, we will work through the confirmed measures with our clients. No client needs to act on Wednesday evening on a headline. The documents, and a calm reading of them, come first.
A calm week beats a busy Wednesday
Budget week rewards preparation, not speed. The businesses that come through it best know their position, have tidy records, and can test an announcement against a real cash flow forecast. The ones that struggle react to the loudest headline first and check the detail later.
If you would like us to run through your checklist before Wednesday, or to review what the Budget means for you once the documents are out, we are here. Pivot Cloud helps small businesses across Richmond and South West London plan around events like this without the panic. Book a free initial consultation on 020 8287 1047 or through our contact page.
Disclaimer
This guide provides general information about the Autumn Budget 2026 and UK tax planning for small businesses as of October 2026. Tax rules and HMRC guidance can change, including as a result of the Budget on 28 October 2026. Always consult with a qualified tax professional about your specific circumstances. That’s what we’re here for. In accordance with our normal practice, this reference is given in good faith and in confidence, without legal liability on the part of the author or the company. The author assumes no responsibility or liability for any errors or omissions in the content of this site.
The information provided in this blog is for general guidance and educational purposes only and does not constitute financial, tax, accounting or legal advice. Pivot Cloud Ltd, registered in England and Wales under Company Registration Number 14570549, has prepared this content to offer general insights into financial and taxation matters. Although every effort is made to ensure the accuracy and relevance of the information at the time of publication, no guarantee is given regarding completeness, accuracy or suitability for your specific circumstances.
Readers should not act, or refrain from acting, based solely on the information contained in this content. Professional advice tailored to your personal or business situation should always be obtained before taking any financial or tax related decision. Pivot Cloud Ltd accepts no liability for any loss or damage arising from reliance on the information presented in this blog.