BUDGET 2025 TIMETABLE OF MEASURES INTRODUCED
Personal
finance changes by date. (Hunt) indicates the policy introduced by Jeremy Hunt
when Chancellor but not changed by Rachel Reeves.
2025/2026
01 October 2025
· £150 Warm Home Discount on one electricity bill extended and simplified
04 December
2025
· Infected blood compensation can be made free of IHT where compensated person already dead
02 January 2026
· VAT will be charged in full on online pre-booked taxi fares in London (eg Uber and Bolt) but complicated and may be avoidable
During 2026
· Revaluation of residential properties in England in council tax bands F, G, H (see April 2028 for new tax on those valued over £2 million)
Royal Assent
Finance Act 2026
· Loan charge settlement changes
2026/2027
01 April 2026
· Remote gaming duty raised to 40%
· Bingo duty abolished
06 April 2026
· Income tax allowances frozen (Hunt)
· IHT Bands frozen (Hunt)
· 2 percentage points added to dividend income tax rates for basic and higher rate taxpayers, UK wide
· Tax and NICs relief extended to reimbursements for eye-tests, home work equipment etc
· Voluntary class 2 National Insurance contributions cannot be paid by people living abroad
· Further restrictions on Class 3 National Insurance contributions paid by people living abroad
· All ISA limits unchanged
· £2.5 million agricultural property and business relief threshold, transferable between spouses (raised from Budget level of £1 million on Christmas Eve eve 2025
· 2 child limit on means-tested benefits ends
· Fuel duty freeze continues
· Remove houseld cost deduction from wages where employees required to work from home
· Universal Credit standard allowances uplifted above inflation
· Late payment penalties waived for mandated Making Tax Digital taxpayers for 2026/27
01 July 2026
· VAT exemption ends on top-up payments for Motability vehicles (NB exemption for wheelchair adapted vehicles). No VAT charged on the vehicle itself.
· Insurance Premium Tax charged on insurance for Motability vehicles (NB exemption for wheelchair adapted vehicles).
01 September
2026
· 1p of 5p 2022 fuel duty cut reversed (NB VAT is added to duty so =1.2p rise)
01 October 2026
· Vaping Duty stamps on vapes mandatory
01 December
2026
· 2p of 5p 2022 fuel duty cut reversed (NB VAT is added to duty so = 2.4p rise)
01 January 2027
· PPF and FAS pensions pre-1997 accruals will rise with CPI inflation
01 March 2027
· final 2p of 5p 2022 fuel duty cut reversed (NB VAT is added to duty so 5p extra duty means 6p on price)
2027/2028
01 April 2027
· Fuel duty rises with estimated RPI (NB could add 2p to duty with VAT). This change could be delayed or scrapped.
· Higher rate of Air Passenger Duty applies to smaller private jets (5.7tonne down from 20tonne)
· New remote betting tax rate of 25% but UK horseracing and some others exempted)
06 April 2027
· Cash ISA limit cut from £20,000 to £12,000 for under 65s. No change in Cash ISA limit for those aged 65 or more.
· Income tax rates raised by 2 percentage points on savings income above allowances, UK wide
· Income tax rates raised by 2 percentage points on property rental income (not Scotland)
· Income tax allowances frozen (Hunt)
· IHT Bands frozen (Hunt)
· Unused pension funds liable to Inheritance Tax.
· Plan 2 student loan repayment threshold in England frozen at 2026 level £29,385 until end of 2029/30
· More Defined Benefit pension schemes can use surpluses including sharing them with members
· VAT and Income Tax self-assessment late payment penalties raised from day 16
· Image rights payments by employer to employee are taxable
01 January 2028
· Threshold for sugar tax reduced, and extended (with some ameliorations) to milk-based drinks
2028/2029
01 April 2028
· High Value Council Tax Surcharge begins on homes in England valued over £2million. Paid by owner unlike council tax which is paid by occupier.
· Electric Vehicle Excise duty begins at 3p per mile (1.5p for plug in hybrids)
06 April 2028
· Income tax allowances frozen (Reeves 2025 Budget)
· IHT Bands frozen (Reeves 2024 Budget)
· Help to Save scheme expanded to include more Universal Credit claimants
01 August 2028
· £925 levy on international university students begins in England
01 March 2029
· Low value relief on imports up to £135 removed. So VAT due on them unless exempt eg books.
2029/2030
06 April 2029
· Income tax allowances frozen (Reeves 2025 Budget)
· IHT Bands frozen (Reeves 2024 Budget)
· Salary sacrifice for pensions limited to first £2000 sacrificed. Above that employee National Insurance contributions will be payable on the amounts as they normally would be. Employer National Insurance contributions will also be due which is new.
09 August 2029
· Last possible Thursday for next General Election (Wednesday 15 August 2029 is last legal date)
2030/2031
06 April 2030
· Income tax allowances frozen (Reeves 2025 Budget)
· IHT bands frozen (Reeves 2025 Budget)
This is an
abbreviated guide based on the information available after the November Budget up to January 2026. Check all details before relying on it. No liability for any errors.
vs. 1.0
