Autumn Budget 2026: when is it and what will it contain?

The Budget will take place on Wednesday 28 October.

Newly appointed Chancellor John Healey announced the date before Parliament went into recess, stating in a video message that the upcoming Budget will 'move money and power out of Westminster and into every postcode around Britain'.

Healey noted that it would be built on ‘fiscal discipline’ and would give ‘businesses and families some of the stability they need to plan for the future’. 

Here, we look at what could be announced as part of this year’s Budget, covering tax, pensions, benefits, savings and more.

What the confirmed changes mean for your wallet

This year's Budget is the earliest the UK has seen since 2021, when it was held on 27 October. In 2024, the Budget took place on 30 October.

Prime Minister Andy Burnham kick-started his time in government, announcing a handful of cost of living measures to provide ‘more breathing space’ to households struggling with bills.

Energy bills, travel and subscriptions

This includes a £2 cap on bus fares, the removal of VAT from electricity bills, and a business rates tax cut for pubs and clubs.

Alongside this, the government has confirmed it will bring forward plans to ban 'pretend prices' and make it easier to cancel subscriptions from January 2027. 

From 17 August, 18-year-olds will be able to continue getting 50% off most train fares with a 16-17 Saver for longer. The change means they will be valid for a full year from the date of purchase, so 17-year-olds will be able to buy the railcard up until the day before they turn 18, making it valid until the day before they turn 19.

This could mean bigger savings than switching to a 16-25 Railcard at 18, as that card generally gives you a third off fares rather than 50%.

Changes to local taxes and funding

Burnham also announced that all regional mayors in England will receive a share of income tax revenue as part of his drive to transfer power from Westminster to local leaders. English strategic authorities will also be allowed to keep some cash from business rates collected in their areas, gaining greater control over services such as housing, transport and skills.

Ministers were informed through a joint letter from Burnham and Healey that funding will be shifted away 'from unproductive or legacy programmes' of government to pay for these new reforms.

Alongside this, mayors in England will be given the power to introduce an overnight visitor levy on tourists. The concept was first raised under former Prime Minister Sir Keir Starmer in November and is similar to schemes running in Scotland and European destinations.

Under the proposals, local leaders would decide how the revenue raised should be reinvested.

No changes to stamp duty 

There are no immediate changes planned to stamp duty or council tax, ending a period of speculation earlier this summer after Burnham previously voiced support for a land value tax in place of both.

Rogue trader clampdown

 A crackdown on ‘cowboy builders’ will include a new trader register. 

The government-backed scheme will launch from September, and will allow businesses to sign up to an approved code to show they meet standards on customer service, transparency and resolving disputes.

A new payment system will be introduced, allowing customers to avoid large upfront payments by linking payments to agreed project milestones. 

Business Secretary Jonathan Reynolds said the changes would 'protect consumers, support reputable traders' and help prevent home improvements from 'turning into a nightmare'.

The Government will also look at ways to make the consumer protection system easier to navigate, including examining how organisations such as Citizens Advice and Trading Standards work alongside regulators, enforcement bodies and redress schemes.

Tougher regulation for private bailiffs 

In England and Wales, bailiffs will soon need accreditation from the Enforcement Conduct Board - or work for an accredited firm - to receive an operating certificate. 

The changes are intended to ensure consistent professional standards following concerns that enforcement agents have pressured people into repayment plans they couldn't afford.

Terms of student loans to be made clearer

University applicants in England will be given clearer information about student loans before they take them out. The government has confirmed that it will clearly explain that repayment rules can be subject to change, and that different career choices can affect how much borrowers repay.

The changes come after a report from the cross-party Treasury Select Committee published in July stated that some student loan promotions 'amounted to mis-selling '. The report, called 'Student loans: Broken and unfair?',  called on the government to make several changes to make the system fairer across the board. 

This included splitting the cost of university equally between the student and the government, and stopping using Retail Price Index (RPI) to calculate interest rates. These were rejected. 

• Find out more: income tax calculator 2026-27, 2025-26 and 2024-25 

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Budget rumours

While nothing is officially confirmed until Budget day itself, here's a breakdown of the key rumours circulating so far, and how they could impact your finances. Remember not to make major financial decisions based on speculation alone. 

Personal allowance and income tax threshold changes

During his Makerfield by-election campaign, Burnham hinted at revising the personal tax allowance after voters raised it as a key concern.

He said the 'frustration about the personal allowance' was 'lodged' in his mind, and confirmed that it would be reviewed at the next Budget. However, he did not commit to changing it, noting that it would be 'difficult given the financial circumstances in which we find ourselves'.

The Prime Minister has committed to Labour’s manifesto pledge not to raise income tax rates. However, experts still expect tax changes based on his spending plans that have already been announced.

• Find out more: how to calculate your tax bill

Capital Gains Tax (CGT) reform

First Secretary of State Louise Haigh, a key ally of Andy Burnham, called for a Capital Gains Tax (CGT) overhaul earlier this year in an essay for the Renewal journal. She argues that the current system unfairly favours unearned wealth over wages, and proposes aligning CGT more closely with income tax brackets.

Haigh also called for an end to the 'uplift at death' loophole, which currently resets any accumulated CGT to zero when stocks and shares are inherited. 

While supporters argue this rule simplifies the tax code and prevents double taxation alongside inheritance tax, critics view it as a workaround that allows the wealthy to bypass CGT and discourages investment in productive assets. Scrapping this exemption could raise an estimated £1.5bn to £2bn a year.

• Find out more: capital gains tax rates and allowances

Social care overhaul 

Exact details on how the proposed social care overhaul will be delivered are expected in the upcoming Budget. Burnham has promised a new national care service, with better pay and training for care workers, alongside closer integration with the NHS. 

Burnham stated that he wants to extract more from existing budgets to fund the reforms, stressing that all plans will be fully funded.

A review of social care will now be published next summer instead of in 2028.

• Find out more: care home costs explained

Stricter rules on claiming benefits 

Burnham is looking to cut down on welfare spending. Speaking to the BBC's Laura Kuenssberg, he said that in future, certain benefits – including mental health support – will become conditional on people taking work rather than staying at home.

Chancellor John Healey is expected to confirm the plan for welfare spending in the Budget, including target cuts for the coming years.

However, Burnham has confirmed that welfare spending will not be cut to fund defence spending. Currently, the target is to spend 3% of GDP on defence by 2030.

• Find out more: what is universal credit and how much will I get?

Railcard changes

The Mirror reports that Burnham is considering extending other railcards, with talks at a 'very early stage'. 

Currently, railcards exist for particular age groups including adults aged up to 30 or those over 60, or groups including disabled people or veterans. There are also family/couples railcards. 

However, there isn't a universal discount card in areas outside of London and the south east, which means adults aged 31 to 59 are unable to access any discounts on rail fares. 

• Find out more: how to save on commuting and transport

Student loan cap freeze reversal

In the 2025 Autumn Budget, former Chancellor Rachel Reeves announced that the repayment threshold for Plan 2 student loans would be frozen at £29,835 from April 2026 until April 2030. From then, the threshold will rise each year in-line with inflation. No changes were announced to Plans 1, 4 and 5 at the time.

The Treasury Select Committee report argued that the government had a 'moral duty' to reverse this freeze, which affects all English and Welsh students who started university between 2012 and 2023. These loans are still issued in Wales. 

Although the government rejected some of the proposals put forward in the report, it hasn't ruled out reversing the freeze. In it's response published on Sunday 13 September, the Treasury and Department for Education said: 'We keep all aspects of the student finance system under review.'

• Find out more:repaying your student loan