The autumn budget 2025 made several changes that might affect separating couples. Please see below details of the mail elements:
- Income tax thresholds will remain frozen for a further three years from 2028.
- Tax on property, savings and dividends income will increase by 2 percent.
- Two child benefits cap will be lifted.
- There will be a £2,000 a year limit on the amount that can be put into pensions under the salary sacrifice scheme without paying national insurance from April 2029.
- From April 2026, the minimum wage will increase. Over 21s will rise to £12.71 an hour, 18-20s to £10.85 and hour and 16 and 17 year olds will receive a minimum of £8 an hour.
- ‘Energy bills will be reduced by removing the most expensive green levy and government funding of the renewals obligation to reduce it to 25% until 2029.
- Mansion tax’ – There will be a high value council tax surcharge on properties worth more than £2 million from April 2028.
- Four council bands will incur a surcharge of £2,500 for properties valued at £2 million rising to £7,500 for those worth £5 million or more.
- Tax-free allowance for cash ISAs to be reduced from £20,000 to £12,000 for under 65s.
- Scale-up businesses to get a three-year stamp duty exemption for new UK listings.
- Capital gains tax relief given to company owners when they sell shares to employee-owned trusts to be cut from 100% to 50% with immediate effect.
- Fuel duty will remain as it is until September 2026 and then will rise in line with RPI from April 2027.
- Electric cars will attract a 3 pence per mile and 1.5 percent for plug in hybrids from 2028.
If you need to discuss how any of these issues might affect your separation, contact our mediation experts now.
