Cartmell Shepherd responds to the Autumn Budget 2025

Chancellor Rachel Reeves delivered her Autumn Budget to parliament this week, with changes that will impact individuals and businesses across the country.

Cartmell Shepherd Managing Director Joanne Stronach, Head of Agriculture Jonathan Carroll and Director in our Wills, Probate and Inheritance team Alan Douglas gave their thoughts on how the budget announcements will impact local businesses and farming families.

Joanne Stronach said:

“The Chancellor’s long-anticipated Budget has delivered a double-edged sword for business.

Positive changes include lower business rates for over 750,000 retail, hospitality and leisure properties, funding for planners and free training for people under-25 on apprenticeships for SMEs.

However, many businesses, particularly those with large workforces, will be concerned about the planned uplift in the national living and minimum wages. These rises often have a knock-on effect, as the salaries of more senior staff are adjusted, thereby increasing wage costs further. While the uplift offers a boost for lower paid workers, the resulting impact could discourage investment and recruitment.

The proposed £2,000 cap on pension salary sacrifice agreements will also increase costs for some businesses by the back door by increasing their and employees’ national insurance contributions. It will also impact directly on the way that employers can offer an affordable extra benefit to their employees, not to mention the discouragement to employees to save more into their pension pots. It will no doubt cause headaches for payroll teams too, already dealing with complicated pension administration.

Overall, despite offering some relief, this year’s Budget will compel many businesses to review workforce plans and pricing strategies in response to these changes.”

Jonathan Carroll said:

“The Chancellor’s decision to make the £1m Inheritance Tax allowance for business and agricultural property transferable between spouses is unequivocally a good thing. It does not take away the tax increases of last year altogether, but it does save many families several thousand pounds in legal and accountancy costs now and gives families more time to plan.”

Alan Douglas added:

“It’s worth noting that the transferable allowance benefits widows and widowers significantly, as they would not otherwise have had the option to do the kind of planning that is available to married couples. Widows and widowers are now likely to have £2 million APR and BPR allowances.”

Contact us for support

Our specialist teams are on hand to help you navigate the evolving financial and legislative landscape brought about by the Autumn Budget. For trusted advice, get in touch via 01228 516666 or enquiries@cartmells.co.uk.