ActionCOACH shares advice on how the autumn’s Budget will effect small businesses in 2026
The autumn budget has brought another wave of changes for UK small businesses, and many owners are wondering how these shifts will affect their plans for 2026.
To help cut through the confusion, ActionCOACH UK teamed up with WealthBuilder to translate this year’s budget into simple, practical insights business owners can act on right away.
Instead of viewing these changes as obstacles, this is a chance for owners to tighten strategy, strengthen profits and put better long-term plans in place. Below are the five biggest changes business owners need to understand and five smart moves to turn 2026 into a year of clarity and growth.
Five Budget changes business owners need to know about
Budget updates can feel like a blur of percentages and policies – but here are the five stand-out shifts you really need to know for your business:
- Dividend tax increases: owners using the salary + dividend model will feel the pinch with less take-home income.
- Savings, rental and investment tax up: a broad 2% rise will impact returns from property and your general investments.
- Selling your business just got pricier: capital gains changes mean exiting your business could cost more in tax.
- Rising employment costs: increases to minimum wages and employer National Insurance contributions will tighten your margins.
- Pension and inheritance rules evolving: from 2027, pensions may be drawn into inheritance tax rules. Those with high-value estates could lose tax-free allowances faster.
So, what does this mean for you?
Even if you’re not directly impacted by every single change, this Budget sends a clear signal: 2026 could put more pressure on small business owners than recent years have. If you don’t adapt your strategy, you could feel the effects in several ways:
- Profit margins may narrow
- Take-home pay may shrink
- Long-term financial planning becomes more vital than ever.
The good news? You’re not powerless. The Budget might influence your environment, but it doesn’t need to dictate your direction. With the right insights and action, you can turn these changes into opportunities to plan smarter, operate leaner and grow stronger.
Five smart moves to build a better 2026 strategy
The smartest business owners won’t wait for the dust to settle – they’ll be adjusting their strategy now. Here are five practical ways you can take to stay ahead of the curve and turn potential challenges into strategic wins:
- Rethink how you pay yourself – balance salary, dividends and pension contributions in a way which maximises tax-efficiency – and protects long-term wealth.
- Protect and grow your margins– review pricing, service profitability and efficiency. Cut back on low-margin services or find better ways to deliver them.
- Create a personal wealth plan– revisit your inheritance exposure and pension setup. For some, a SSAS (Small Self-Administered Scheme) could open new financial opportunities.
- Stress-test your 2026 forecast – model what higher wages, taxes and economic shifts might mean for your business. A good forecast now builds the foundations for a confident future.
- Don’t go it alone – at ActionCOACH UK, we’ve helped thousands of business owners tackle complex change – such as this year’s Budget – and steer them to success. Working with a coach or a peer community means faster insights and better outcomes.
The final word: make 2026 a year of growth, not guesswork
James Vincent, ActionCOACH UK’s Performance Director, puts it simply: “The most successful business owners aren’t biding their time – they’re taking control now. With the right strategy, 2026 can be your most profitable year yet.”
The Budget doesn’t have to hold you back. With clarity, expert support and a proactive mindset, business owners can make smarter decisions, build more resilient businesses and take confident steps toward long-term wealth.
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