After months of speculation, the wait is over. The Autumn Budget 2025 was announced on 26 November, and with it came a clearer direction for the year ahead.
If you’re wondering what the Autumn Budget 2025 means for you, Bush & Co has good news. We’ve rounded up the key updates for homeowners, renters and anyone navigating the property market in the next few years. This guide highlights what has changed, what remains the same and how these points can help you plan.
What’s Changing in 2026?
While much of the property market remains stable, the Budget does introduce a few notable changes. These updates are largely focused on high-value properties and rental income, so anyone buying, selling or letting should keep these details in mind.
High-Value Properties
A new High Value Council Tax Surcharge will apply to homes worth over £2 million, affecting a small percentage of UK properties, mainly in London and the South East. This ‘mansion tax’ is set to encourage a more dynamic market at the top end, potentially creating opportunities for buyers and sellers in the premium property sector. Luckily, homeowners in this bracket have plenty of time to think ahead, with the change planned to come into effect in April 2028.
Property Income Tax
Tax rates on rental income will increase by 2%, meaning landlords will now pay 22%, 42% or 47% depending on their income band. This change is scheduled for April 2027, giving landlords time to review their portfolios, adjust rent where needed and invest in property improvements to attract quality tenants ahead of time.
What’s Staying the Same in 2026?
Amid the changes coming into play with the Autumn Budget, some key details remain the same, giving peace of mind to buyers and homeowners.
Stamp Duty
While buyers had been bracing for possible changes to stamp duty, the current thresholds will remain unchanged. This is great news for buyers, particularly those purchasing for the first time, as it keeps upfront costs predictable and helps with financial planning.
Homes Over £500,000
Owners of homes above £500,000 can now breathe a sigh of relief, as the proposed annual tax for this price range will not be introduced. This tax would have added an extra charge on top of any council tax – a cost that is now off the table. Following this news, the market is likely to see renewed activity, prompting buyers to head into 2026 with more confidence.
Looking Ahead
The Autumn Budget 2025 keeps the property market largely steady, which is a relief at a time when the Renters’ Rights Act is set to bring its own series of changes to the property market. By knowing what’s changing and what’s staying, homeowners, buyers, renters and landlords can approach the year ahead with a clear view of the future.
Not sure what the Autumn Budget 2025 updates mean for you? Get in touch with Bush & Co for support as you look at the year ahead.
