Get your business ready for the Autumn Budget 2025 with these five practical financial planning tips. Learn how to manage tax, cash flow, and costs before any government changes take effect.
Why the Autumn Budget Matters for Business Owners
The UK Autumn Budget 2025 is just around the corner, and for business owners, that means one thing: potential change. Each Budget brings new announcements that can affect tax rates, allowances, and business reliefs, all of which can directly impact your profits and cash flow.
Whether you’re running a growing SME or a family business, preparing early for the Autumn Budget can help you make smart, informed decisions before any new rules come into play. Acting now allows you to use existing tax reliefs, plan for rising costs, and stay one step ahead of the Chancellor’s updates.
Here are five ways to get your business finances in shape before the Budget is announced.
1. Review Your Accounts and Forecasts
Before any policy changes are made, take a close look at your latest management accounts and cash flow forecasts. Understanding where your business stands financially gives you the insight needed to plan strategically.
Ask yourself:
- Are your costs increasing faster than your revenue?
- Do you have enough working capital to handle a potential rise in tax or wage costs?
- Are your profits in line with expectations?
By reviewing your numbers now, you’ll be able to model “what if” scenarios such as higher National Insurance contributions or changes in Corporation Tax and avoid being caught off guard.
2. Make the Most of Current Tax Reliefs
Budgets often introduce changes to reliefs and allowances, so it’s worth checking you’re using everything available while the current rules still apply.
Here are a few examples to focus on before April 2026:
- Annual Investment Allowance (AIA): Claim full relief on qualifying equipment or machinery purchases (up to £1 million).
- Full Expensing: Still in place for many businesses, this allows 100% tax relief on certain capital investments.
- Business Asset Disposal Relief (BADR): If you’re considering a business sale, using this relief while the rate remains at 14% could save you thousands in tax.
- Pension Contributions: Company pension payments remain one of the most tax-efficient ways to extract profit while reducing your corporation tax bill.
Taking advantage of these reliefs before they’re reviewed or reduced in the Autumn Budget could make a measurable difference to your business finances.
If you need some guidance on any current tax reliefs, get in touch with our tax team.
3. Plan for Possible Tax Changes
While we don’t yet know exactly what the Chancellor will announce, the recent fiscal trend suggests continued fiscal drag, where frozen tax thresholds mean more people and companies pay higher rates.
Key areas to watch include:
- Corporation Tax: The main rate is currently 25% for profits over £250,000. Could this change, or will more thresholds be adjusted?
- Dividend Tax: The allowance is already reduced to £500, meaning directors and shareholders are paying more tax on dividends.
- Capital Gains Tax (CGT): There’s speculation about further alignment between CGT and income tax rates.
Now is the time to discuss timing strategies with your accountant.
4. Tighten Control Over Cash Flow
Budgets can create uncertainty, especially if tax or wage increases are announced. A strong cash position gives you flexibility to respond without stress.
Consider:
- Automating invoice reminders to improve payment collection.
- Reviewing credit terms with customers and suppliers to protect liquidity.
- Setting aside a buffer for any new costs that could be introduced, such as increases in the National Minimum Wage or employer NICs.
A few small adjustments now can help ensure your business remains resilient whatever the Autumn Budget brings.
5. Book a Pre-Budget Review with Your Accountant
Many business owners wait until after the Budget to act, but by then, opportunities may be lost. A pre-Budget review gives you the chance to identify:
- Any reliefs or allowances that should be used now.
- Potential exposure to new tax rules.
- Opportunities to restructure or reinvest profits before changes take effect.
Your accountant can help you create a short-term action plan that keeps your business agile and tax-efficient, regardless of the Budget’s outcome.
Get in touch to discuss your strategic planning.
Start Preparing Now
The Autumn Budget 2025 could bring a mix of challenges and opportunities for UK businesses, from tax adjustments to new incentives. The key is to prepare, not react.
By reviewing your finances, using current reliefs, managing cash flow carefully, and seeking expert advice early, you’ll be in a strong position to adapt quickly once the Chancellor makes their announcements.
If you’d like tailored advice to help your business, our team can help you identify ways to protect profits and plan for the year ahead. Get in touch!
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