UK Tax Year End: What you need to know

As we approach the end of the tax year, now is a great time to check in on your financial plans and make sure you remain on course to meet your goals.

Here are some key areas worth exploring before the all-important 5 April 2026 deadline.

1. Pensions 

It’s important to review your pension savings and ensure they remain aligned with your long-term retirement plans. With the annual pension allowance continuing to stand at £60,000 for eligible individuals, pensions are one of the most effective ways to save tax efficiently!

Following the Autumn Budget 2024, most unused pension funds and lump sum death benefits are expected to be subject to Inheritance Tax from April 2027.

Key takeaway: This is a good opportunity to think about how the new rules could impact who inherits your pension, how you can take money from it now, and your overall estate planning.

2. Tax matters

The personal allowance and tax thresholds remain frozen at their current levels — including the £12,570 personal allowance, the £50,270 higher rate threshold and the £125,140 additional rate threshold – a freeze now confirmed to run until at least April 2031.

With markets performing strongly, now could be a good time to make full use of your annual Capital Gains Tax (CGT) allowance. The allowance is £3,000 per person (£6,000 for couples), and CGT rates remain lower than income tax: 18% for basic rate taxpayers and 24% for higher or additional rate taxpayers.

Key takeaway: It’s important to make full use of the tax allowances available to you to ensure you’re not paying tax unnecessarily – from your annual ISA allowance and pension allowance to relief on charitable giving or professional subscriptions.

Remember, if you don’t use them before the deadline, the opportunity is gone!

3. Inheritance & intergenerational planning

Have you thought about how gifting money, family trusts or contributions to a Junior ISA or a Junior SIPP (for children/grandchildren under the age of 18) could help you pass on wealth more efficiently?

Did you know – we now offer a Junior ISA: We’ve recently launched a brand-new Junior ISA in partnership with AJ Bell — a great way to start building a head start for the children in your life. Simply get in touch to find out more.

Key takeaway: Reviewing your estate plan, your wills and any lasting powers of attorney is important to make sure they still reflect your wishes and family circumstances.

Taking a bit of time now to make sure your plans align with your overall financial goals can bring real peace of mind — for you and for the generations that follow.

Consolidate your wealth for a clearer financial picture

Do you have multiple ISAs, pensions and other investments in different places with different providers?

Bringing everything together can:

• Make your finances easier to manage
• Provide better reporting to ensure you’re on track
• Offer greater clarity around fees and reduce admin

As always, it’s important to review any implications carefully – but with our expert guidance, consolidating your investments can be a valuable step towards a more streamlined and efficient financial set‑up.

Get in touch

If you’d like to learn more about getting ready for Tax Year End, Junior ISAs, or consolidating your wealth, please get in touch.