Last verified: 12 October 2026 • Pre-Budget Analysis Window (Speech: 28 Oct 2026)
What to expect from the Autumn Budget on Wednesday 28 October 2026?
The Autumn Budget 2026 will be delivered on 28 October. Ahead of the speech, UK taxpayers face a distinct divide between Confirmed Statutory Measures already enacted into law (such as the £12,000 Cash ISA cap for under-65s from April 2027, +2pp on savings and property income from April 2027, unspent pensions entering IHT from April 2027, and the £2,000/yr salary-sacrifice NI cap from April 2029) and heavily debated Rumoured Measures (such as cutting the £268k tax-free pension lump sum to ~£100k, introducing a flat 30% pension relief, or taxing uninvested Cash ISA balances at 22%). Every speculative item is explicitly badged as Rumoured until official Treasury Red Book confirmation.
Budget 2026 At A Glance
- Budget Date & Time: Wednesday 28 October 2026 at ~12:30pm GMT following PMQs.
- Confirmed Law (Apr 2026): Dividend tax rates +2pp (10.75% / 35.75%); Employer NI 15% with £5k threshold.
- Confirmed Enacted (Apr 2027): Cash ISA cap £12,000 for under-65s; Savings & Property rates +2pp; Pensions brought into IHT.
- Confirmed Enacted (Apr 2029): Salary sacrifice NI savings capped at £2,000 per tax year.
- Strict Policy Discipline: Speculation from media briefings is badged “Rumoured” and excluded from confirmed tax code calculations.
Section 1: Confirmed Statutory Measures (Already Enacted)
These policy measures have already passed into statutory UK legislation via the Finance Acts and have confirmed implementation dates:
| Measure | Effective Date | Statutory Status | Take-Home Pay & Wealth Impact |
|---|---|---|---|
| Dividend Tax +2pp Increase | 6 April 2026 | Confirmed Law | Basic: 10.75%, Higher: 35.75%, Additional: 39.35%. £500 tax-free allowance unchanged. |
| Cash ISA £12,000 Annual Cap | 6 April 2027 | Confirmed Enacted | Limits cash deposits for savers under 65 to £12,000/yr. Overall £20,000 ISA limit requires £8k in equities. |
| Savings & Property Tax +2pp | 6 April 2027 | Confirmed Enacted | Savings interest and buy-to-let profits taxed at 22% basic, 42% higher, 47% additional. |
| Unused Pensions into IHT | 6 April 2027 | Confirmed Enacted | Removes the IHT exemption on unspent defined contribution pension pots, facing 40% estate tax. |
| Salary Sacrifice NI Cap (£2k/yr) | 6 April 2029 | Confirmed Enacted | Caps employee & employer National Insurance savings at £2,000/yr. Income tax relief remains uncapped. |
Section 2: Rumoured Measures (Under Review Ahead of 28 Oct)
The following proposals are circulating in Whitehall briefings and think-tank submissions. In line with our strict editorial policy, none are treated as fact until published in the official Budget Red Book:
- Pensions Tax-Free Lump Sum Cap: Rumoured Speculation suggests capping the 25% tax-free lump sum at £100,000 (currently frozen at £268,275). No official document confirms this.
- Flat 30% Pension Tax Relief: Rumoured Scrapping 40% and 45% relief for higher earners in favour of a single 30% bonus. Heavily opposed by public-sector pension schemes.
- State Pension Tax Drag: Rumoured Triple lock increases will push the New State Pension above the frozen £12,570 Personal Allowance by 2027, pulling millions of pensioners into PAYE.
- 22% S&S ISA Uninvested Cash Charge: Rumoured Proposals to charge 22% tax on uninvested cash held inside Stocks & Shares ISAs to prevent hoarding.
- Personal Allowance Rise to £15,570: Rumoured Liberal think-tank proposal to unfreeze allowances, funded by higher Capital Gains Tax.
Model Your Autumn Budget 2026 Take-Home Impact
Test your salary, savings, and buy-to-let income with our interactive Budget tool to see if you are better or worse off.
Frequently Asked Questions: Autumn Budget 2026 Predictions
When is the Autumn Budget 2026 and what time is the speech?
The Autumn Budget 2026 takes place on Wednesday 28 October 2026. The Chancellor’s speech to Parliament traditionally starts around 12:30pm GMT directly following Prime Minister’s Questions and lasts approximately 60 minutes.
What tax changes are already confirmed for April 2027?
Confirmed for 6 April 2027: A £12,000 Cash ISA cap for under-65s, a +2 percentage point tax hike on savings interest and property rental income (to 22%/42%/47%), and the inclusion of unused pension funds in Inheritance Tax.
Is the pension tax-free lump sum going to be cut to £100,000?
This is strictly rumoured. While think-tanks have proposed reducing the current statutory maximum lump sum of £268,275 to £100,000, the Treasury has not confirmed any change. Treat as speculative until 28 October.
What is the confirmed salary sacrifice National Insurance cap for 2029?
From 6 April 2029, statutory legislation will cap the total National Insurance savings from salary sacrifice at £2,000 per tax year across employee and employer contributions. Income Tax relief remains fully preserved.
Will Income Tax rates or bands change in the Autumn Budget?
The statutory freeze on the £12,570 Personal Allowance and £50,270 Higher Rate threshold is legislated to remain in place until at least April 2028, continuing fiscal drag without headline rate changes.
How will the Cash ISA cap affect young savers?
Under-65s will only be able to deposit up to £12,000 per year into Cash ISAs from April 2027. To utilise the full £20,000 annual ISA allowance, the remaining £8,000 must be invested in Stocks & Shares or Innovative Finance ISAs.
Are dividend tax rates increasing in the Budget?
Dividend tax rates were already increased by 2 percentage points on 6 April 2026 (to 10.75% basic and 35.75% higher). No further dividend tax rate increases have been confirmed for the 28 October Budget.
Is the State Pension triple lock being scrapped?
The Government has committed to retaining the triple lock for the duration of this Parliament, with an announced transition to a ‘double lock’ (higher of inflation or 2.5%) planned from April 2030.
Will there be changes to Capital Gains Tax (CGT)?
Rumours persist regarding further CGT alignment with Income Tax rates, following previous cuts to the annual exemption to £3,000. Any changes will be verified against the Budget Red Book on 28 October.
How can I check if the Budget leaves me better or worse off?
Use our interactive Budget 2026 Calculator to enter your gross salary, age, savings interest, and rental income to model your net take-home pay under both current rules and incoming statutory changes.