Budget promises years of change when savers need clarity now

TrinityBridge warns the Budget ushers in a raft of tax and savings reforms staggered across the decade—from higher savings and dividend taxes to reduced ISA allowances—creating uncertainty at a time when households need stability and clear guidance.

Daniel Swift, Head of Financial Planning at wealth manager TrinityBridge, in response to the Budget:

Budget promises years of change when savers need clarity now

“Much of today’s Budget was heavily trailed, and it will be a relief that several of the biggest rumours did not materialise. But that doesn’t take away from the fact that a lot of change is coming – and coming in over a number of different years. The Deputy Speaker was right to call out the rumour mill around this Budget; ending it for future fiscal events would go a long way to restoring confidence. What people need is clarity, not more noise.

“We’re looking at a rolling programme of tax and savings reforms: dividend tax rising from 2026, higher taxes on savings and property income from 2027, the ISA allowance changes also from 2027, there’s a new salary sacrifices pension contributions cap from 2029, and income tax thresholds are frozen until 2031. These shifts will affect people at different times, just as their own circumstances and life events change. That means financial planning can’t be a “set and forget” exercise – people will need to stay on top of these updates and understand what they mean for them individually.

“Cash ISAs are simple products that encourage people to save, which can only be a good thing. Reducing the allowance (from £20k to £12k) undermines that by causing uncertainty and confusion, exacerbated by the introduction of higher income tax on savings. Importantly, there is no guarantee that people will invest the excess if they hit their cash limit – it hugely depends on a person’s individual circumstances, including time horizons, risk appetite, and overall savings objectives. While over-65s are exempt from the change, this just makes ISAs more complicated than they should be.

“On top of the measures announced today, we’re still waiting for earlier measures announced last year to take effect. Business Property Relief benefits via AIM are set to be halved from April 2026, and we await clarity on whether other unquoted schemes will follow. There is also ongoing discussion around farmers’ inheritance tax relief. All of this adds yet more layers to an already complex financial planning environment.

“A number of headline-grabbing changes may not have happened today, but the volume of reforms now scheduled across multiple years means people will need to understand the timing and implications carefully. As personal circumstances evolve – new jobs, property moves, children, caring responsibilities, or changes in income – so too will the impact of these measures.

“Ultimately, what matters is how these changes land for each individual: where they stand to win, where they lose, and when. That’s exactly why clear financial guidance and ongoing planning are becoming more important, not less.”