Healey’s First Budget: Why Now Is the Time to Review Your Finances

September 28, 2026

KPW Insight | Autumn Budget 2026

The UK has a new Prime Minister, a new Chancellor and, on 28 October, a first Budget that could shape your savings, pensions and investments for years ahead. If you have been waiting for the right moment to review your finances, this is it.

What has changed?

On 20 July, Andy Burnham replaced Sir Keir Starmer as Prime Minister. Within days he moved Rachel Reeves out of the Treasury and appointed John Healey as Chancellor. Burnham signalled he would look for “flexibility within the fiscal rules”, and the bond market reacted quickly: the 10-year gilt yield climbed back above 5%, and the 30-year yield reached around 5.75%, a two-month high.

That reaction matters. It is why Healey’s first Budget is widely described as one “written by the bond market”. Any hint of looser borrowing risks pushing yields higher, so the Chancellor will have little room to manoeuvre, and difficult choices on tax and spending may follow.

Why it matters to you

• Mortgages and savings: Gilt yields feed directly into fixed-rate mortgage pricing and savings rates. Higher yields can mean higher borrowing costs, but also better rates for savers.
• ISAs and pensions: Rising yields reduce the value of existing bond holdings, which many ISA and SIPP portfolios hold. Now is a sensible time to check how exposed you are.
• Tax: With limited headroom, the Budget may target areas such as pension tax relief, Capital Gains Tax, Inheritance Tax or allowances. Changes can take effect quickly, sometimes from Budget day itself.
• Business owners: Decisions on dividends, extraction strategies and pension contributions may need revisiting before or after the announcement.

Act before 28 October, not after

Nobody can predict exactly what will be announced. What we can do is make sure your plan is resilient whatever happens. A pre-Budget review can help you understand where you stand today, identify allowances you may want to use while current rules apply, and put a clear plan in place so you can respond with confidence once the detail is known.

Book your pre-Budget review

Our advisers are offering pre-Budget review meetings throughout October. In one conversation we will look at your pensions, ISAs, investments and tax position and highlight any steps worth considering before 28 October.

Appointments are limited in the run-up to the Budget. Book yours today.

This article is for general information only and does not constitute personal financial advice. The value of investments and the income from them can fall as well as rise, and you may get back less than you invest. Tax treatment depends on individual circumstances and may change in future. Source: IG, “UK gilt yields explained: what Burnham’s new Chancellor means for investors”, July 2026.