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Budget 2026 Key Points

Today (28 October 2026), the Chancellor, John Healey, delivered his first Budget, announcing a mixture of tax increases, business incentives and measures intended to ease the cost of living. In this blog we have summarised the key announcements.

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Companies House U-turn for small company accounts

The government has announced a significant change to its planned Companies House reporting reforms, confirming that the requirement for small companies and micro-entities to file profit and loss accounts from April 2028 has been paused.

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New first-time buyer ISA – what we know so far

The government has provided further details of its proposed new first-time buyer ISA, which is expected to replace the Lifetime ISA. There are some significant differences between the proposed new account and the existing Lifetime ISA.

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Working from Home Tax Relief and Expenses

Working from home is now commonplace, whether you are self-employed, run your own limited company or work for an employer. We outline what tax relief can be claimed and what to watch out for.

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Deprivation of assets under watch

People are updating their tax-planning strategies to take account of inheritance tax (IHT) being charged on unused pension pots from April 2027. An unintended consequence of such planning, however, is the impact on long-term care costs.

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Enterprise management incentives grow in popularity

The April 2026 EMI reforms have pushed this perk towards mainstream acceptance. Higher qualifying limits mean that EMI tax-advantaged share options can now continue to be granted even as a company grows and matures.

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ISA reform means changes for savers

‍From 6 April 2027, anyone aged under 65 will only be able to save a maximum of £12,000 into cash individual savings accounts (ISAs) each tax year. The overall ISA limit will, however, remain at £20,000, with new rules introduced to minimise the opportunity for the lower cash ISA limit to be circumvented.

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Warning about pension IHT scheme scams

Anyone confused or anxious about the inheritance tax (IHT) changes being introduced for pensions needs to be aware that scammers might try to target their savings.

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Winter Fuel Payment tax recovery

Unless opted out, pensioners will have received the winter fuel payment for 2025/26, but it is recoverable by HMRC if income exceeds £35,000. HMRC guidance on the recovery process has recently been updated.

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