Could Taxes Go Up in the Autumn Budget? How to Be Ready

The Autumn Budget will be outlined on November 26th, with the Chancellor expected to announce a number of financial changes. Issues such as rising living costs, plateauing wages and imbalances across the economy have already been cited as key issues the budget is set to help with.

While there are expected to be a number of changes, one that we can almost bet money on is that taxes will increase. Whether you are concerned about business planning or personal income taxes, we’ve got you covered. Keep reading to learn more about what you can expect and what can be done now.

What’s the Likelihood of Taxes Rising in the Autumn Budget?

Although many expect taxes to rise following the budget, it’s hard to quantify just how likely this will be. However, given the fact that in October 2024 there were £40bn worth of budget tax rises, we think this is something that should be prepared for. 

How Can You Prepare for Tax Increases

Without knowing the exact details, it’s impossible for us to offer concrete advice. However there are a number of planning activities everyone can undertake in the weeks leading up to the budget to start getting prepared for potential changes. These are as follows:

Optimise Tax-Efficient Savings

Firstly, it’s important to audit savings such as ISAs and stocks. You can not only be sure to understand how these will be impacted should changes arise, but you can also assess ways of reducing tax liabilities by investing more in tax-deductible savings structures.

Plan Tax-Impacted Activities

Whether you’re self-employed or involved in a limited company, tax rises can also impact activities such as taking dividends or allocation of bonuses. Be sure to check personal allowances and consult your financial planning expert to understand when the best time is to plan these business-critical events.

Update Business Planning

Another key way to get ready is to ensure your financial planning is adaptable to changes. By having processes in place to change tax responsibilities, your business can quickly align with new laws. Furthermore, thinking about long-term tax planning is important as it can highlight opportunities for moving funds around should taxes rise. An example of this is understanding what tax-efficient investments are available to you.

Tighten Personal Finances

You should also be sure to understand how personal finances can be tightened to ensure that any increases in tax don’t have a catastrophic impact on your cash flow. 

Consult with an Expert

Finally, it’s important to choose an accountant that can guide you through any changes that come into force. Not only will the right expert be able to help you prepare, but they will also offer rapid advice about best practice once the budget has been announced.

How Can Hysons Help You Navigate Tax Rises?

Our team is available to support the impact of tax increases. Both our company tax returns and personal accounting self-assessment services can be tailored to provide advice for changing financial rules. Get in touch with our team today to book a consultation.