Autumn Budget 2025 — What you need to know
The Autumn Budget 2025 has just been delivered and it brings a number of changes that could affect homeowners, landlords and people saving or investing for the future.
Below is a quick summary of the key announcements and what they might mean for you.
🧾 What changed?
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Tax thresholds stay frozen until 2031 — Income tax and National Insurance thresholds won’t increase until 2031, which means many people could end up paying more tax as wages rise.
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High‑value property levy introduced — From April 2028, owners of homes worth over £2 million will face a new surcharge, increasing for more expensive properties.
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Pension salary‑sacrifice changes — From April 2029, only the first £2,000 of pension contributions via salary sacrifice will be exempt from National Insurance — above that amount, contributions will be subject to National Insurance.
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Support for households and lower earners — The Budget freezes regulated rail fares, prescription charges and fuel duty for now and promises savings for many households on energy bills and cost-of-living support through public services.
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Help for businesses and rental market changes — For landlords and property investors, policy shifts may affect profitability, especially if you own high‑value properties or multiple properties subject to the new levy.
💡 What this could mean for you
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If you’re on a regular income or expecting wage increases, the frozen tax thresholds may increase your tax burden… you might want to review your finances or mortgage budget to stay ahead.
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Owners of higher‑value homes (or investors with luxury properties) should factor in the upcoming surcharge when budgeting or planning future sales or investments.
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If you use salary‑sacrifice pension contributions… consider reviewing your pension strategy early, especially if contributing more than £2,000 a year.
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For regular homeowners… Good news, the temporary freezes on fuel duty, rail fares and prescription charges may ease some of the cost-of-living pressure in the short term.
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Investors or landlords… it may now be more important than ever to assess whether your rental income or property portfolio still delivers the return you expect.
📌 What to do next
If any of the changes above affect your situation… whether you’re thinking about remortgaging, investing in property, reviewing pension contributions or just want to plan for the future – it might be a good time to take action.
At City Mortgage Solutions, we’re here to help you review your mortgage or protection setup in light of the new Budget changes.
Get in touch if you want to:
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Re‑assess affordability or mortgage options
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Check whether your property or portfolio remains attractive
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Review protection or pension plans in light of new legislation
Staying informed is step one — planning ahead is step two.