The Autumn Budget is on 28 October 2026, and smart business owners are already preparing. Working with tax planning services in London now, rather than after the announcements, gives you time to act while today’s rules still apply. Many owners also rely on accounting services for small businesses to keep their numbers accurate, up to date and ready for exactly this moment. Early preparation helps you spot unused reliefs, forecast your tax bill and avoid last-minute decisions. This guide walks you through six practical steps to take before the Budget, so you can protect your profits and avoid costly surprises.
Why Your Tax Position Matters Before the Autumn Budget
Every Budget can change how much tax you pay, often with little warning. Some measures start at midnight, while others arrive months later. If you wait for the speech, you may lose the chance to use a relief, bring forward an expense or restructure your pay.
That is why it pays to review your tax position before the Chancellor stands up. Tax planning before the budget is about being prepared for several outcomes, not predicting one. It also supports year end tax planning in the UK, because the tax year ends on 5 April 2027 and many of your best opportunities need to be set up well before then.
Good business tax planning advice looks at the whole picture: profits, pay, pensions, spending and your plans for the next few years.
What Could Change in the Autumn Budget 2026
Nobody outside the Treasury knows the details, but the autumn budget 2026 UK discussion centres on a handful of areas. Please treat these as possibilities, not confirmed changes.
- Income tax changes: thresholds, bands and how different types of income are taxed
- Capital gains tax changes: rates, allowances and reliefs on selling assets or a business
- Corporation tax planning: the structure of rates, reliefs and allowances for companies
- Employer National Insurance changes: the cost of employing staff, which feeds straight into payroll changes after budget
- Business rates: support and reform for smaller firms
- Dividend taxation: how directors take profit out of their company
Making Tax Digital for Income Tax is also expanding, with the threshold due to fall to £30,000 from April 2027, so sole traders and landlords should be preparing too.
Step 1: Review Your Income and Profits for the Year
Start with a realistic forecast. Compare your year-to-date figures with last year and estimate where profit will land by your year end. This shows which tax band you are heading for and whether you need to act.
A quick tax health check at this stage can reveal unused allowances, unclaimed expenses or an unexpectedly large bill. It is much easier to fix these in October than in January, when the self assessment deadline of 31 January arrives.
Good business financial planning starts here. If you know your likely profit, every other decision becomes easier.
Step 2: Check Your Dividend and Salary Mix (for Company Directors)
Most company directors pay themselves a mix of salary and dividends, and the balance can change the tax you pay. Rates, allowances and National Insurance rules all affect the best split, and they can move in a Budget.
Review what you have drawn so far this year and what you plan to take before 5 April. If dividend taxes rise, drawing profit earlier may suit some directors, while others may do better leaving profit in the company. The answer depends on your personal circumstances, which is where a small business financial advisor in London can compare the options using your real numbers.
Step 3: Look at Your Allowances, Reliefs and Pension Contributions
Allowances reset every tax year, and unused ones are usually lost. Check that you are using your personal allowance, dividend allowance, ISA allowance and any reliefs you qualify for.
Pension contributions deserve special attention. Employer contributions from your company are generally a deductible business expense, and they can lower your corporation tax bill while building long-term wealth. Annual limits and carry-forward rules apply, so check them before paying in.
These tax saving tips for business owners work best as part of wider financial planning management in London, where pensions, investments and tax are considered together rather than separately.
Step 4: Plan Capital Expenditure and Capital Allowances
If you were already thinking about buying vans, machinery, equipment or software, timing matters. Capital allowances let you deduct qualifying spending from profits, and the annual investment allowance can give full relief on a large amount of qualifying equipment.
Before you buy, check what qualifies, when the spending counts for tax and whether any Budget change could affect the relief. Do not buy something you do not need just to save tax, because the cash still leaves your bank account. The aim is to time necessary purchases sensibly.
Step 5: Review Capital Gains and Business Exit Plans
If you own shares, property or a business you may one day sell, capital gains tax changes are worth watching. Rates, allowances and reliefs, including those on business disposals, have all moved in recent years.
Think about your timeline. If you may sell in the next few years, early planning can help you make the most of reliefs and structure the sale well. Spouses, family ownership and the timing of the disposal can all make a difference. Experienced business financial advisors in London, UK can model different scenarios so you see the likely tax outcome before you commit.
Step 6: Make Sure Your Bookkeeping and Records Are Up to Date
Tax planning is only as good as your records. If your books are three months behind, your forecast is guesswork.
Reconcile your bank accounts, chase missing receipts, review invoices and check that VAT and payroll are up to date. Clean records support tax compliance for small businesses and make filing quicker and cheaper.
They also make cash flow management and forecasting in London far easier. If you know a tax bill is coming, you can set money aside instead of being caught out. Many firms find that outsourcing bookkeeping removes the end-of-year panic entirely.
Common Tax Planning Mistakes Small Businesses Make Before a Budget
Even well-run businesses slip up. Watch out for these:
- Acting on rumours: Budget speculation is often wrong, so plan for sensible options rather than one prediction
- Spending to save tax: buying unnecessary items costs more than the tax you save
- Leaving it too late: many reliefs need action well before 5 April
- Ignoring personal tax: company and personal tax decisions affect each other
- Messy records: poor bookkeeping leads to missed expenses and rushed returns
- Missing deadlines: penalties and interest add up quickly
Working with tax return accountants in London helps you avoid these errors and file accurately. If you are a sole trader, landlord or director with other income, a self assessment tax return service in London can handle the paperwork and make sure you claim everything you are entitled to. Whether you need a tax return accountant in London for yourself or tax return services for small business across a whole team, early support reduces stress as the deadline approaches.
Read More: Autumn Budget 2026: What UK Small Business Owners Need to Know Before 28 October
Pre-Budget Tax Review Checklist
Use this list before 28 October:
- Forecast profit for the current tax year
- Review your salary and dividend mix
- Check personal allowances and unused reliefs
- Consider employer pension contributions
- Plan equipment purchases and capital allowances
- Review any upcoming asset or business sales
- Update bookkeeping, VAT and payroll records
- Set aside cash for tax bills due
- Note your self assessment deadline and payment dates
- Book a meeting with one of the trusted accountants in London who knows your business
If you want ongoing senior-level guidance without hiring a full-time finance director, a virtual finance director in London can build your forecasts, advise on tax and keep your strategy on track all year.
How Fred Michael & Co Can Help You Review Your Tax Position
Fred Michael & Co Ltd is an accountancy firm based in Barking, supporting construction, logistics and pharmacy businesses across East London and beyond. Our services include bookkeeping, payroll, tax and VAT, credit control and strategic financial advice.
We help you understand what the Autumn Budget could mean for your profits, pay and plans, and we turn that into clear actions you can take before the tax year ends. Our team will check your position, spot opportunities and keep you compliant, so you can focus on running your business.
Want to know where you stand before the Budget? Contact Fred Michael & Co Ltd today to book a consultation, and let our team take care of your digital records, quarterly submissions and tax planning.
Frequently Asked Questions
What date is the UK budget 2026?
The UK Autumn Budget 2026 is scheduled for Wednesday 28 October 2026. The Chancellor will deliver it to Parliament, setting out the government’s tax and spending plans. Businesses should check gov.uk for confirmation, as dates can occasionally change, and prepare their tax position early, before the announcements are made public.
What to expect in budget 2026 in the UK?
Nothing is confirmed until the Chancellor speaks, but speculation centres on income tax, capital gains tax, corporation tax, dividend tax, employer National Insurance and business rates. Small businesses should plan for several outcomes, review their tax position early and avoid acting on rumours before the official announcements are formally confirmed.
On which day is the budget presented in 2026?
The Autumn Budget 2026 is presented on Wednesday, 28 October 2026. Budgets are usually delivered by the Chancellor of the Exchequer in the House of Commons. Changes may take effect immediately, from the next tax year, or later, so businesses should review each measure carefully with their accountant before acting.
What time is the UK Autumn Budget?
Budget speeches usually begin around midday or early afternoon, often following Prime Minister’s Questions in the House of Commons. An exact start time is normally confirmed closer to the date, so check official government and parliamentary announcements. Detailed documents and forecasts usually appear very soon after the Chancellor finishes speaking.
How can small businesses prepare for the Autumn Budget 2026?
Small businesses can prepare by forecasting profit, reviewing salary and dividend mix, checking allowances and pension contributions, planning equipment purchases, and updating bookkeeping records. Avoid acting on rumours or spending just to save tax. An accountant can run a tax health check and explain which announced measures affect your business.
