Economy · Budget & tax · 31 October 2026
Autumn Budget sets new tax rates and energy payments for 2027
The 2026 Autumn Budget introduces changes to taxes, energy bills, and housing, according to House of Commons Library. Income tax on savings rises, while a new household energy payment is planned for England.
House of Commons Library has published details of the 2026 Autumn Budget, presented to Parliament on 28 October. The Chancellor described the measures as "for the working people of Britain. It's a Budget for business, big and small". The plans focus on tax adjustments, energy support, and housing funding.
Income tax rates on property and savings income will rise to 24%, 44%, and 49% for basic, higher, and additional rates respectively starting April 2027. A new Pensions Tax Allowance equal to the annual State Pension amount will also begin in April 2027. Relief for pubs, social clubs, and live music venues will increase from 15% to 35% in April 2027, excluding the very largest venues.
Machine games duty will rise to 25% for machines with stakes over £1 or prizes over £100 from April 2027. The bank corporation tax surcharge will increase by 3 percentage points to 6% for 15 months starting 1 January 2027. These changes are part of a broader package described as "built on fiscal discipline" by the Chancellor.
Households in England in council tax bands A to D are set to receive a £100 Household Energy Payment from January 2027. Gas standing charges are to be removed by the end of 2027 or as soon as possible after. The announcement does not specify if these energy measures apply to households in Scotland, Wales, or Northern Ireland.
£1.5 billion is allocated to deliver around 10,000 homes in England, prioritising social rent and council homes. The funding is part of the Social and Affordable Homes Programme. The document does not state how many of these homes will be built in specific regions or local authorities.
Written by StreetOwl from House of Commons Library’s own announcement. It was drafted by StreetOwl’s own model, every figure and quotation was checked by code against the announcement, and it was read and approved by Michael Rossi before it went up. It says what was announced, not what anyone should do about it.
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