Reviewed 4 November 2026. The Budget on 28 October 2026 announced measures affecting investment, employee benefits and online marketplace sales. This is a planning summary of announcements requiring legislation, not a statement that future rates or proposals are already in force.
The announced main-rate first-year allowance is 50% on qualifying expenditure incurred from 1 January 2027. The main writing-down allowance is announced at 12% from 1 April 2027 for Corporation Tax and 6 April 2027 for Income Tax.
These measures do not mean every business purchase qualifies. Full expensing and Annual Investment Allowance (AIA) eligibility remain separate questions. Before committing to equipment, ask your accountant to check the asset, expenditure date and applicable relief, rather than assuming the headline rate determines the deduction.
Official source: HMRC OOTLAR section 1.42.
Mandatory benefit payrolling is announced for company cars, vans, fuel and medical benefits from 6 April 2027. Other benefits follow from 6 April 2028, except loans and accommodation.
Make a list of the benefits you provide, who receives them and where the values are recorded. Discuss payroll software readiness and employee communications with your payroll adviser. Preparing the data now is different from changing how benefits are reported today.
Official source: HMRC OOTLAR section 1.24.
The marketplace VAT proposal would extend the rules to UK VAT-registered sellers and other UK businesses with annual platform sales of £90,000. The planned start is October 2027. Personal sales, second-hand sales and B2B sales are excluded.
The final threshold and implementation date are to be set by secondary legislation in 2027. This is not a current VAT rule change: do not alter VAT treatment, pricing or platform settings solely on this announcement.
For now, separate your sales by platform and customer type and check that marketplace settlements reconcile to your accounts. If the proposal could affect your business, speak to COPA about ecommerce accounting support while the final rules are developed.
Official source: HMRC OOTLAR section 1.55.
The announcement maintains the 25% main rate and 19% small profits rate for the financial year starting 1 April 2028. Neither headline is a blanket rate for every company's profits; check which treatment applies to your circumstances.
Keep your profit forecast and investment plans together when reviewing tax. The existing Corporation Tax calculator can support estimates for the periods it already covers; it is not a model of these future announcements.
Official source: HMRC OOTLAR section 1.38.
Our existing payroll calculator and non-car benefits calculator remain tools for their stated periods and assumptions. No calculator has been changed to implement these announcements.
For the official detail, read HMRC's Budget 2026 Overview of Tax Legislation and Rates. The linked sections above are the source for this summary. Our Autumn Budget 2025 article remains available as a historical article, not the latest Budget update.