Autumn Budget 2026: What Professional Practices Should Plan For

When is the Budget, and what is confirmed so far?

The date is settled. In a letter to Dame Meg Hillier MP, Chair of the Treasury Committee, published on GOV.UK on 31 July 2026, the Chancellor confirmed that the Budget will be held on 28 October 2026 and that the Office for Budget Responsibility will publish its economic and fiscal forecast the same day (Chancellor’s letter on GOV.UK).

Everything else is, for now, informed expectation. Budget measures also rarely land at once: some apply from the day of the speech, many from the next tax year in April, and others only once legislation has passed.

What is being reported, and what is only speculation

None of the following is confirmed. These are the themes commentators have raised in recent weeks, with the source for each:

• Capital Gains Tax. Which? reported on 28 September 2026 that Louise Haigh, First Secretary of State, has called for Capital Gains Tax to be aligned more closely with income tax bands and for the uplift on death to end. S&W’s Budget roundup of 15 October 2026 records The i Paper describing Capital Gains Tax as the “front runner” among revenue-raising options.
• Income tax. Which? reports that the Prime Minister has committed to the manifesto pledge not to raise income tax rates, and that Andy Burnham said the personal allowance would be reviewed, while calling any change “difficult given the financial circumstances in which we find ourselves”.
• Employer National Insurance. S&W notes the British Retail Consortium has asked for the threshold to rise from £5,000 to £6,000: a trade body’s request, not a forecast.
• Partnerships and LLPs. Ahead of last year’s Budget there were reports that employer-style National Insurance could be extended to LLP members, which the Law Society opposed. KPMG notes that the idea was not included in the Autumn Budget 2025, and S&W’s roundup this month records no predictions aimed at partnerships or LLPs. That is reassuring, not a guarantee.

Capital Gains Tax and selling a practice

For partners approaching retirement and owners thinking about a sale, the current position is clear. Capital Gains Tax is charged at 18% on gains within the basic rate band and 24% above it, and the annual exempt amount for 2026 to 2027 is £3,000. Business Asset Disposal Relief applies a rate of 18% to qualifying gains on disposals from 6 April 2026, up from 14% in 2025 to 2026 and 10% before that, provided the conditions have been met for at least two years (GOV.UK: Business Asset Disposal Relief).

If Capital Gains Tax does change, the seller bears it, but buyers feel it too, as sellers may want to move faster or restructure how they are paid. Buyers who already have practice acquisition finance in place, or a clear view of what lenders would support, are in a stronger position to agree a timetable. Our guides to buying a professional practice and partner retirement and succession funding set out how those deals are usually structured.

Bringing a sale forward purely for tax rarely works well, because due diligence, lender approval and, in some professions, regulatory consent all take time. Take advice before changing any plan.

Employer costs and practice cash flow

For 2026 to 2027, employers pay Class 1 National Insurance at 15% on earnings above the secondary threshold of £5,000 a year, and the Employment Allowance is £10,500 (GOV.UK: rates and thresholds for employers). People-heavy practices such as law firms, dental and veterinary practices feel every change here directly.

Any change would normally apply from a future tax year. The sensible step now is to know your headroom: how many months of payroll your reserves cover, and what practice working capital or an unsecured practice loan could add if costs rise faster than fees.

The bill that will not wait: 31 January

Whatever the Chancellor announces, partners in partnerships and LLPs, and sole practitioners, still face the usual Self Assessment timetable. Payments on account are due by midnight on 31 January and 31 July, and each is half of the tax owed for the previous year (GOV.UK: payments on account). On 31 January that payment usually arrives together with the balancing payment for the year before, which is why January is so often the heaviest cash month of a partner’s year.

Many firms meet this through tax reserves held back from drawings. Where reserves fall short, or where a strong year has produced a larger bill than expected, partners’ tax funding can spread the cost over the following months. Incorporated practices face the same question with Corporation Tax and VAT, and our guide to funding Corporation Tax and VAT explains how lenders look at it.

How to prepare before and after 28 October

• Model the next twelve months on today’s rules, then test the one or two changes that would matter most to your practice.
• Agree the January figure with your accountant now, rather than in the week it is due.
• Have recent management accounts ready. Our guide to preparing a practice finance application explains what lenders ask for.

If funding may be part of the answer, we search the market across 300+ lenders and approach those suited to your profession and purpose. You can see your matches in a few minutes with Instant Quotes, with no credit check.

Common questions

Published 17 October 2026. Figures and dates are taken from the sources named and were correct on that date. This article is for general information only and should not be treated as legal, tax, accounting or financial advice. Funding availability and lender requirements depend on individual circumstances.