• The 2025 Budget confirmed that IHT thresholds, including the nil-rate band and residence nil-rate band, will remain frozen until at least April 2031. From 6 April 2026, there will be a £1 million combined allowance for Agricultural Property Relief (APR) and unquoted Business Relief (BR) (private company shares, partnerships, soletraders) attracting 100% relief, with values above this limit receiving 50% relief.
• AIM BR qualifying companies will attract 50% relief with no allowance. 
• Additionally, from 6 April 2027, unspent pension pots will be included in estates for IHT purposes, potentially increasing the number of families affected by inheritance tax. 

• Personal tax and national insurance contributions (NIC) thresholds are frozen until 6 April 2031. 
• Dividend income from 6 April 2026 will increase for basic rate taxpayers to 10.75%, and for higher rate taxpayers to 35.75%. Additional rate tax payers will still be taxed at 39.35%. 
• Property and savings income tax rates are increasing from 6 April 2027. This will increase to 22% for basic rate taxpayers, to 42% for higher rate taxpayers and to 47% for additional rate taxpayers. 
• From April 2026, carried interest will fall within the income tax regime and will be subject to income tax (up to 45%) and NIC. 

• From 30 October 2024, the capital gains tax rate for non-residential property and non-carried interest assets increases for basic rate taxpayers to 18%, and for higher rate and additional rate taxpayers to 24%.  
• Trusts will be subject to 24% capital gains tax.
• Residential property capital gains tax rate remains unchanged at 18% for basic rate tax payer and higher rate taxpayer at 24%. 
• From 6 April 2025, the capital gains tax rate for assets qualifying for business asset disposal relief (BADR) is 14%, and from 6 April 2026 rises to 18%.  
• Capital gains tax on carried interest increased to 32% from 6 April 2025 and moves to income tax regime from 6 April 2026. 

From 6 April 2026, the income tax relief available on new VCT investments will be reduced from 30% to 20%. However, with frozen personal tax allowances and increase in taxes across non-VCT dividends, savings and property income, VCTs are viewed as a highly effective financial planning tool to support in this environment. The Budget also increases the company eligibility requirements of investment and company size limits for VCTs, allowing them to support more mature businesses. These changes are designed to encourage investment in UK growth companies. 

• The 2025 Budget introduced a range of tax changes, including a reduction in the cash ISA allowance to £12,000 from 6 April 2027 (although overall £20,000 ISA limit unchanged).
• A council tax surcharge (mansion tax) for properties valued over £2 million in England, starting in 6 April 2028.
• A cap on salary sacrifice pension contributions, with only the first £2,000 per year exempt from National Insurance from 6 April 2029. The salary sacrifice rules in relation to income tax relief are unchanged on pensions.