The tax changes that could come in October’s Budget

As speculation rises over the Chancellor’s plans, experts believe the upcoming Budget could see another “smorgasbord” of small tax changes.

The fiscal rules mean additional borrowing is very unlikely, while there is little headroom for more spending.

Will taxes rise and by how much?

Economist Julian Jessop said: “It is highly likely that further tax increases will be announced in the Budget.” Leading economic forecaster Capital Economics suggests tax rises up to £25bn are possible.

Although there are hundreds of possible tax rises, here are some of the key ones that could affect you.

An increase to CGT rates

• Capital gains tax is levied on gains made when an asset is sold.
• Rates are generally lower than income tax rates at 18 to 24 per cent.
• Basic income tax is 20 per cent, rising to 40 per cent and 45 per cent for higher brackets. 
• Nimesh Shah, CEO of tax firm Blick Rothenberg, said: “Even if full alignment is considered a step too far, the Government may narrow the gap.”

Pension tax changes

There has been speculation that the Government could end up cutting the size of the tax-free lump sum people can take from their pensions, which is either 25 per cent of the amount or £268,275 – whichever is lower.

Shah believes this is a “sacred cow” among middle England and won’t be touched, but that pension tax relief could be.

Jessop believes the Budget could target business sectors that Labour believes engage in “antisocial” activities.

To a degree, Andy Burnham has done this already, announcing a 20 per cent business rates cut for pubs, clubs, and small live music venues funded by reducing reliefs for stores perceived as causing social harm.

• Capital Economics believes “sin taxes” on the likes of unhealthy food could raise £1bn and be a possibility.

• Though this could fall within the scope of large tax overhauls, Burnham is being urged heavily to consider changes.
• Compass, a cross-party campaign group headed by Neal Lawson, is fronting a new report which includes calls for wealth tax reform.
• The report proposes a 2 per cent levy on net wealth above £10m, which it says would raise £24bn a year from around 22,000 people – just 0.03 per cent of the population.

What should you do now?

Experts warn that people should not act on Budget speculation now. “I think it’s important that people avoid making major financial decisions based purely on speculation about tax changes that may never materialise,” says Jason Hollands, managing director at Evelyn Partners.

The airport that has overtaken Heathrow as Europe’s busiest

Heathrow airport said “the case for expansion has never been clearer” after it lost its position as Europe’s busiest airport.

Heathrow has lost its claim to the busiest airport in Europe to Istanbul. Heathrow’s two runways are operating at capacity, but passenger numbers are thought to be down due to the US-Israeli war with Iran.

The airport used the drop in numbers as a new argument in its long-standing campaign for a third runway. Reacting to the news, it said “the case for expansion has never been clearer”.

8.15 million

Heathrow saw just 7.86 million customers pass through it in July, compared to 8.15 million in Istanbul.

The London airport recorded 84.46 million total passengers in 2025.

1.5% dive

Heathrow’s July passenger total represented a 1.5 per cent decrease compared with the same month last year, whereas Istanbul saw a 2.3 per cent boost.

On Middle East routes alone, Heathrow passenger numbers were down 20 per cent compared to last year.

The new ‘treatment for life’ weight-loss pill approved for UK

The GLP-1 medication will be available to buy privately with a prescription after approval by the Medicines and Healthcare products Regulatory Agency (MHRA).

• 
  Foundayo is a daily weight-loss pill from Eli Lilly, the makers of Mounjaro.
• 
  The UK has become the first European country to approve its use.
• 
  It is another GLP-1 medication which reduces appetite. It treats type 2 diabetes and obesity.
• 
  It can help people lose an average of 12 per cent of their body weight.
• 
  We do not yet know if the pills will be available on the NHS. It will be available on prescription for private patients.

A trial in May found orforglipron, the scientific name for the drug, could be used to help patients maintain weight loss after coming off GLP-1 jabs.

Dr Louis Aronne, an obesity expert at Weill Cornell Medicine in New York, hailed it as a “treatment for life”.

Where and when to see solar eclipse – and do you need glasses?

With the UK set to see a rare partial solar eclipse on Wednesday evening, here is everything you need to know ahead of the event.

• A solar eclipse occurs when the Moon moves between the Earth and the Sun, obscuring the Sun’s light for a few minutes.
• Many parts of the country will experience between 89 per cent and 96 per cent coverage of the Sun.
• This year’s eclipse occurs in the evening, starting at around 6.15pm and ending a little after 8pm – depending on your location. 
• The next total solar eclipse over the UK will not happen until 23 September 2090.

People in the south-west of England are likely to get the most coverage.

For the best view, it is important to go high up. In London, this could mean Primrose Hill or the Royal Observatory at Greenwich.

There will be events to watch the eclipse all over the country, including at Calton Hill in Edinburgh, Armagh Observatory, Pendennis Castle in Cornwall and the National Space Centre in Leicester.

Do you need glasses?

There has been a last-minute rush for eclipse glasses, with many high street shops and online retailers sold out. Experts have warned that normal sunglasses are not safe to use to view the solar event.

If you want to view the spectacle, you could alternatively use a pinhole camera to project the shadow of the eclipse onto a flat surface.

We should smile at our dogs – a new scientific study reveals why

Man’s best friend can distinguish between positive and negative emotions, according to researchers at the University of Vienna.

What you need to know

• Scientists studied 14 dogs who sat in MRI scanners to see what happens in their brains.
• The reward centre of their brains “light up” with activity when shown photos of smiling human faces.

Laura Cuaya, one of the study’s lead researchers, said “This finding suggests that happy faces, even those of strangers, have a positive value for dogs”.

She added: “We can reward our dogs with treats, but also reward them with happiness.”

Firefighters work ‘tirelessly’ to contain   fire

Firefighters are beginning a third day of tackling a fire in the New Forest which they say they are “managing to contain” after working “tirelessly” through the night.

Hampshire Fire and Rescue Service initially scrambled 26 fire engines and four water carriers to the eastbound A31 after receiving 160 emergency calls reporting a van had caught fire on Sunday evening.

How did the fire progress?

The fire service said the blaze spread from the vehicle to the central reservation before progressing into nearby heathland in a south-easterly direction towards Backley Bottom, and is in a “challenging rural location”.

An update released on Tuesday by the fire service said that a change in wind direction had “provided a challenge” overnight but it was managing to prevent “spread and escalation”.

A total of seven fire engines, with water carriers and off-road vehicles, were involved in the operation overnight, which continued to use water pumped through miles of pipes laid from a nearby lake as part of a high-volume pump (HVP) system.

And the A31 – the main route through the New Forest – remains closed, with National Highways saying that repairs needed to “significant” damage to the road surface can only start once the fire is safely under control.

The story in pictures

What did the fire service say?

Thanks to the efforts of firefighters we are managing to contain the fire. We have been using a mix of fire engines and off-road vehicles to damp down and cool the edges of the area involved in the fire to prevent spread and escalation.

Are you having as much sex as everyone else?

It’s natural for libido to wax and wane due to life events, dating status or hormonal changes.

And it can be hard to say what a “normal” sexual frequency is. But research and case studies give us a rough idea.

When it happens

61%

 A 2023 survey concluded that almost two thirds (61 per cent) of us wait until night-time to have sex.

Only 14 per cent opt to get busy in the early evening, and 10 per cent in the morning.

 Research from 2019 suggests that the average number of times British live-in or married couples have sex per month is three. 

Are Gen Z having less sex than older people?

I see my partner on the weekends and have sex with others in the week.

Leanne, a 27-year-old influencer from Bristol has sex three or four times a week, but only sees her long-distance partner on the weekends. They have agreed they can both sleep with other people during the week.

35-year-old Rebecca usually sleeps with her partner once or twice per week due to not having much child-free time.

Clare, 32, says her job is busy and she has to schedule sex with her partner on weekends, or some afternoons twice a month. “Occasionally this slips and I do worry that it makes us not as connected,” she says.

I haven’t had the issue of my sex life drying up with menopause. I’m more aroused now.

I’ve been married for 15 years. I love my husband, but our sex life is non-existent, and has been for about five years.

I’m not really motivated to seek out partners; I vaguely like the idea of it but not enough to take any action.

I’ve been married for 20 years and sex has become something of a rarity. We maybe have sex once a week on a Sunday morning as we’re both relaxed and I can take Viagra late on Saturday night – without it, I can’t perform.

JACK, 63, OFFICE WORKER, KENT

The seven rules that could save your marriage

Keep your sense of self

I did what I thought I was supposed to do and forgot my needs and wants. I think it’s really important that you’re an individual and not just a person who is married.

KATIE STRATFORD*, A 55-YEAR-OLD MUM OF TWO, WHO DIVORCED ATER 19 YEARS

The small things

Small things, like being brought a cup of tea or saying thank you, make a big difference.

Karen Deulofeu, who ended her six-year marriage, believes all couples should seek support, even before they think they need it.

Listen properly by repeating what you have heard and ask if you’ve got that right.

Don’t lose communication

People don’t talk about the deep issues; nobody else is going to do it for you. You don’t want to ask questions because it might rock the boat…you have to keep talking, and talk about what it is that you want within the relationship to keep going forward.

KATIE STRATFORD

Remember that things change

“What you see on social media and what friends say is quite often the nice version. Everything is a phase,” says Deulofeu.

Look at yourself first

“Focus on what’s in your control and what you can do differently, rather than the other person or a situation that you can’t control. Invest in understanding yourself,” she adds.