With the Autumn Budget this week, more people have been taking action to prepare their finances before any big changes.
While rumours are coming in thick and fast, it’s important not to let Budget anxiety force you into something that’s not right for you.
Instead, it’s worth focusing on steps you can take now that will benefit your finances, no matter what comes out of the Budget. You could consider bringing forward any contributions you have already planned.
Here are four moves HL clients have been making this tax year and ahead of the Budget.
This isn’t personal advice. ISA, pension and tax rules can change, and their benefits depend on your circumstances. Scottish tax rates and bands are also different. If you’re not sure what’s right for you, ask for financial advice.
Remember, unlike cash, all investments and any income from them can rise and fall in value so you could get back less than you invest. Inflation reduces the future spending power of your money.
Pay extra into a pension
HL clients continue to pile into pensions, making the most of the current system in the wake of Budget rumours.
The number of people making contributions to their HL Self-Invested Personal Pension (SIPP) between 6 April and 31 October this year is up nearly 7%* on what was already a blockbusting year last year. Plus, with the Budget falling almost four weeks later this year that gives even more time for people to boost their SIPPs.
With rumours of a potential change to tax free cash and tax relief, we saw those with a bit of spare cash taking the no-regrets move to bolster their retirement position by bringing forward contributions now. As Budget Day has got closer, tax free cash changes have since been ruled out by the Chancellor, but topping up your pension for the future is never a bad thing, if you had the spare cash that is.
Contributions of between £3,600 and £10,000 are already up almost 5%, while those making contributions of between £10,000 and £20,000 is up marginally by almost 1%.
Those making contributions of less than £3,600 per year is also up almost 14% so far. Some of this could be people who have used their own allowances and are now topping up the SIPPs of loved ones such as partners and children to give them a retirement boost.
Pay into their ISAs
It’s been a massive tax year so far for both Cash ISAs and Stocks and Shares ISAs, as investors worry about tax hikes and rumours over possible changes to ISA rules.
Savers and investors are keen to protect themselves from tax changes, and to take advantage while they know where they stand.
Rumours over possible threats to the Cash ISA limit have encouraged a real boom in Cash ISA savings. The number of HL clients paying into their Cash ISAs has more than doubled in a year. It’s a sign of the value that HL clients place in tax free savings options, and their enthusiasm to take advantage of the rules as they stand.
It's also a been a strong year for HL Stocks and Shares ISAs – there’s 11.8% more people paying into them than the same period a year earlier.
With plenty of rumours about potential capital gains tax (CGT) rises, it’s no surprise seeing more Stocks and Shares ISA top ups. ISAs are sheltered from UK CGT, both when you sell up and cash out and whenever you rebalance your portfolio. ISAs also protect investments from dividend tax, which hasn’t attracted much Budget speculation, but remains a key factor thanks to recent cuts in the annual allowance.
Many HL clients are also combining holding both Stocks and Shares ISAs and Cash ISAs, it demonstrates the enormous value of being able to find the right balance for your circumstances every tax year without complexity or friction.
Plan as a family
The 2025/26 tax year has also been a record year for people paying into HL Junior ISAs (JISA) – along with almost a third more people maxing it out (32%) – which demonstrates a huge commitment to investing for children.
The Budget’s helped drive people to invest for children, partly because worries about rising taxes will affect every member of the family in the long run.
JISAs can also be useful for gifting if you’re worried about inheritance tax. You can make gifts up to the annual allowance, or regular gifts from income, and they’ll leave your estate immediately for inheritance tax purposes, and yet they are tied up until the child is 18.
Topped up their Lifetime ISAs
Lifetime ISA (LISA) investors tend to include younger people, saving for a property deposit.
They generally have less space in their budgets to step up contributions. However, the number of those maxing out their LISA is up 6% and the number making contributions is up 8%, so they’re clearly seeing the benefits of sheltering their property nest egg from tax.
Some buyers might be putting their plans on hold to see what the Budget holds in store, but those who are still building their deposit aren’t hanging around in the race to get onto the property ladder.
There will also be those who are putting money away for later life.
Budget speculation may have provided a handy reminder of just how valuable the LISA can be, so they’re keen to take advantage where they can.
*All comparisons are to the same period a year earlier and refer to products held with HL.
Figures for all products and all years run from 6 April to 31 October 2025.
