The government is freezing income tax thresholds (personal allowance, higher-rate, additional-rate) through to 2030/31. That means with any wage increases, more income becomes taxable, without changes to the rates.
Dividend, savings and property-income tax rates are rising: from April 2026 the tax on dividend income goes up by 2 percentage points; from April 2027, the tax on savings and on property income will also increase under the new structure.
For homeowners, a new “High Value Council Tax Surcharge” will apply to residential properties valued at £2 million or more, from April 2028. For top-end properties this adds a recurring tax burden.
Taken together, these measures make many traditional yield-based assets – dividend-paying shares, property rental or property ownership, savings interest less attractive when viewed after tax.
Meanwhile: for investors looking for after-tax growth via equity, early-stage companies qualifying for the Enterprise Investment Scheme (EIS) may become more appealing than ever.
EnviraBoard’s current EIS-eligible funding round offers one such opportunity. Given the new tax environment, EIS-based investment may represent one of the few remaining ways to deploy capital in a tax-efficient way with potential upside, rather than rely on income streams squeezed by higher taxation.
If you’d like to explore the EIS structure or see how post-tax returns compare under this Budget, I can share the details on request.