Three things from the 2026 Budget worth building into your 2027 plan, if you run a founder-led, family or PE-backed business.
This week's Budget was steady rather than dramatic. But if you run a founder-led, family or PE-backed business, three things belong in your 2027 plan.
From 6 April 2027, Business Asset Disposal Relief - the lower tax rate when you sell your business - covers only the first £500,000 of gains, down from £1m. On a £1m gain, that's about £30,000 more tax.
A new 10% Founders' Relief on up to £10m of gains is planned for fast-growing businesses, with tests on turnover growth, headcount growth and R&D - though the detail is still out for consultation. Growth itself may soon carry a tax reward.
The first-year allowance on new plant and machinery rises from 40% to 50%, while relief on existing assets slows. New kit gets relief faster.
The OBR expects growth of just 1% in 2027, with inflation averaging 3.4% and interest rates heading towards 4¼%. The National Living Wage rises 3.9% in April.
In a slow, expensive year, the temptation is to cut whatever can't prove itself by next quarter. The evidence says that's often the costliest move: brand investment tends to pay back over years, not weeks.
The answer isn't spending more. It's knowing which pound does what, and protecting the ones that build value - especially if a sale is on the horizon.
Not tax advice - talk to your accountant before acting on any of this.
New · Free playbook
Brand is back on the board agenda. This is the evidence for why, and a six-stage, 100-day plan to act on it, for PE-backed, VC-backed and founder-led businesses.
