Autumn Budget 2025 Predictions that Could Affect Your Small Business

The 2025 Autumn Budget is due on Wednesday, 26 November, and while nothing is confirmed yet, several key changes are being discussed that could directly impact small business owners.

These are still predictions, but it’s worth preparing early, especially with ongoing economic uncertainty and rising costs already putting pressure on small firms. Here’s what’s being talked about, and what you can do now to stay ready.

Key Potential Changes Predicted in the Autumn Budget

Business Rates

The current 75% business rates relief for small retail, hospitality, and leisure businesses is expected to drop to 40%, meaning higher costs for many who rely on physical premises. If confirmed, this could take effect from April 2026, so planning ahead for the increased expense will be important.

VAT Threshold

There’s talk of raising the VAT registration threshold, possibly to £100,000. That could reduce admin for some small businesses and encourage growth without triggering VAT duties too early. It’s not guaranteed, but worth watching closely if your turnover is near the current threshold (£90,000).

National Minimum Wage

An increase to the National Minimum Wage is being considered, which would raise operating costs for employers, particularly in hospitality, retail, and care sectors. Businesses with tight margins should review staffing budgets ahead of April.

National Insurance & Corporation Tax

While no major changes are confirmed, the government could adjust National Insurance or Corporation Tax rates to help fill fiscal gaps or stimulate growth. Even small changes here could affect profits for limited companies and directors.

Incentives

New incentives for technology adoption, digital tools, or sustainability projects may be announced. These could come as tax credits or grants aimed at encouraging innovation among small businesses.

Other Considerations

Ongoing consultations on salary sacrifice schemes, tax certainty, and behavioural penalties may also influence future compliance requirements. These tend to evolve gradually, but it’s worth staying aware.

What You Can Do Right Now

Take a Look at Your Costs

If your rent, staff wages, or energy bills have crept up this year, now’s the time to get a clear picture of your monthly outgoings. Even a quick review of what’s going in and out can help you spot where things might tighten if rates or wages rise.

Build a Little Breathing Space

If the Budget brings higher costs, having a small buffer in your business account can make life easier. You don’t need a huge fund, just enough to cushion one or two months of changes.

Keep an Eye on the News

As we get closer to 26 November, more Budget details will start leaking into the press. A quick weekly scan of reliable business news sites (like gov.uk, BBC Business, or Federation of Small Businesses) can help you stay ahead of surprises.

Ask for Help If You’re Unsure

If you already have an accountant or financial adviser, ask them what these potential changes could mean for your setup.

And if you don’t have anyone in your corner yet, get in touch with us here at Strive. We can help you understand what’s relevant for your business, or connect you with the right people who can.

Contact us for a free chat about how we can help

Stay Ahead of the Curve

The Autumn Budget may still be a few weeks away, but it’s shaping up to be an important one for small businesses. Taking half an hour now to review your numbers, tidy up your accounts, or plan for “what if” scenarios could save you a big headache later.

Strive will be keeping a close eye on the Budget and sharing a clear breakdown once everything is confirmed. So check back in late November for our Post-Budget Small Business Guide.