The Autumn Budget on 28 October had more in it for small businesses and the self-employed than most headlines suggested. Most of it starts in April 2027, which gives you a few months to plan. Here is what matters if you run a clinic, a practice, a salon or a trade, and what to do about it. Figures come from THP Chartered Accountants' Budget summary; check the details that apply to you with your accountant.
The trading allowance triples to £3,000
From 6 April 2027, the trading allowance rises from £1,000 to £3,000. If you earn under £3,000 a year from self-employment, you won't need to register with HMRC or pay tax on it. If you earn more, you still register, and you choose between the allowance and your actual expenses, not both.
Who this helps: therapists starting a small private practice alongside an NHS or employed role, and anyone testing a side business before going full time.
Business rates relief goes further (England)
- From April 2027, 100% Small Business Rates Relief applies up to a rateable value of £18,000, up from £12,000.
- Tapered relief now runs up to £21,000, up from £15,000.
- Bills for businesses not on Small Business Rates Relief are frozen from April 2027 to April 2029.
What to do: look up your premises' rateable value on GOV.UK and check whether you now fall inside the new thresholds. A small clinic room or salon could see its bill drop to nothing.
Making Tax Digital reaches more sole traders
The next wave of Making Tax Digital for Income Tax starts on 6 April 2027 for people with qualifying income over £30,000 in 2025/26. If you join in April 2027, there are no late-filing penalties for your first four quarterly updates. If you've been using it since April 2026, penalty points for late filing start in April 2027.
What to do: if your income is over £30,000, choose compatible software now and keep your records digital from the start of the tax year, not at the end. Our plain-English guide to Making Tax Digital explains the quarterly updates step by step.
Other changes worth knowing
- Mileage: the higher rate for your first 10,000 business miles, introduced in April 2026, is now permanent, and the rate above 10,000 miles rises from 25p to 35p from April 2027. Useful for mobile physios, home-visit therapists and tradespeople.
- Wages: the National Living Wage rises 3.9% to £13.21 an hour for workers aged 21 and over from 1 April 2027.
- Payments on account: from April 2029, Self Assessment payments move from two lump sums to smaller, more regular payments, after a consultation.
- Direct Debits: from April 2029, VAT and PAYE will need a Direct Debit set up to collect unpaid balances.
- Young Entrepreneurs Allowance: a pilot to help new founders cover living costs in their first year. Details are still to come.
What this means for your website and marketing
If the rates and allowance changes leave you with a little more each month, the best place for it is usually whatever brings in steady new clients. For most local practices and small businesses that means three things: being easy to find on Google, a website that works on a phone, and a simple way to book. Our guides on getting more Google reviews and choosing an online booking system are good places to start.
Your to-do list before April 2027
- Check your rateable value against the new £18,000 and £21,000 thresholds.
- If you earn over £30,000 from self-employment, pick Making Tax Digital software now.
- Keep a mileage log if you travel for work.
- Book a short call with your accountant to see which changes apply to you.
- If you want more bookings from your website before then, tell us about your business.
We build websites, booking systems and Google profiles that bring in work for UK businesses. See your homepage design before you commit.