Income tax thresholds frozen until April 2031
The £12,570 tax-free allowance and the £50,270 higher-rate threshold stay the same, so more of any pay rise is taxed.
Already decided
These changes were announced earlier and are already law or confirmed. The Budget could add to them.
Cash ISA limit falls to £12,000 from 6 April 2027
For people under 65. The total ISA allowance stays at £20,000.
Tax on savings and rental income rises from 6 April 2027
Up 2 percentage points, to 22%, 42% and 47%.
Pensions count for inheritance tax from 6 April 2027
Unused pension savings become part of your estate.
Making Tax Digital starts on 6 April 2027
For self-employed people and landlords with income over £30,000 before expenses.
0% VAT on electricity ends on 31 March 2027
There’s no VAT on electricity bills from 1 October 2026 to 31 March 2027.
0% VAT on solar panels ends on 31 March 2027
It goes up to 5% from 1 April 2027.
The full State Pension goes over the tax-free allowance in April 2027
It’s expected to rise to £250.70 a week, over the £12,570 allowance. The government has promised people with only a State Pension won’t pay tax: the Budget should say how.
Salary sacrifice cap from April 2029
Only the first £2,000 a year you pay into a pension through salary sacrifice will be free of National Insurance. Income tax relief doesn’t change.
What to check after the Budget
- Has income tax or National Insurance changed? Take-home pay calculator.
- Has anything changed for pensions or salary sacrifice? £100k tax trap calculator.
- Are ISAs or savings tax changing? ISA and savings tax calculator.
- Buying a home? Check stamp duty. Stamp duty calculator.
- Has inheritance tax changed? Inheritance tax calculator.
- Not sure what applies to you? Free Money Check-up.
Questions
When is the Autumn Budget 2026?
Wednesday 28 October 2026. The Chancellor, John Healey, gives the Budget speech in the House of Commons, usually after Prime Minister’s Questions at around 12:30pm.
Do Budget changes start straight away?
Some can, such as changes to stamp duty, which sometimes start the next day. Most changes to income tax, National Insurance and ISAs start on 6 April or later.
Where can I read the official Budget documents?
On GOV.UK, which publishes the Budget documents and a summary for households on the day.
Everything changing in April 2027 · More money questions answered
Sources
- GOV.UK: Budget date announced
- GOV.UK: Thresholds frozen until 5 April 2031
- GOV.UK: Salary sacrifice changes from April 2029
- Ofgem: No VAT on electricity to 31 March 2027
Last checked: 9 October 2026