Vail Williams LLP has responded to today’s Autumn Budget, describing the Chancellor’s announcements as “largely signalling rather than solutions” for the UK property, planning and investment sectors.
The Budget, widely viewed as one of the most significant of the new Government’s term, centred heavily on tax rises for property wealth and passive income, with modest incentives for business investment, and a renewed commitment to the forthcoming Planning and Infrastructure Bill, expected to receive Royal Assent imminently.
Limited support for residential market as new taxes introduced
Russell Miller, Regional Managing Partner (South Coast) at Vail Williams LLP, said today’s measures offered “limited reassurance” for the property market, with very little to support the residential sector at a time when rental pressures continue to mount.
He commented:
“On residential, there was very little to support the housing sector. The additional 2% tax on property income risks further dampening appetite among smaller residential investors, reducing rental supply at a time when demand continues to rise. Combined with the forthcoming Renters’ Rights Act and the end of no-fault evictions in May 2026, this could intensify pressures in an already strained rental market.”
Miller noted that support for planning reform was minimal beyond reiterating the importance of the Planning and Infrastructure Bill:
“News to support planning reform, other than a reaffirmation of the importance of the Planning and Infrastructure Bill 2025 which is soon to get Royal Assent, was scant. To reach the Government’s target of 1.5 million new homes a year, ministers will need to actively encourage the market far more than they have, and demonstrate genuine investment in local planning systems.”
On business investment, Miller welcomed measures aimed at UK capital markets, including ISA changes and stamp duty exemptions for new listings, but questioned their broader impact:
“These steps are interesting, but their impact will likely be limited unless underpinned by improvements in overall macro-economic confidence and business sentiment.”
He concluded:
“Overall, this was a Budget that offered signalling rather than solutions, and the market still needs both.”
Planning ambitions clear, but dependant on capacity and consistency
David Ramsay, Partner and Head of Planning at Vail Williams LLP, said the planning announcements reaffirmed the Government’s commitment to “the most ambitious reforms in a generation,” but warned that without sustained investment in local authority capacity, delivery will fall short.
He said:
“From a planning perspective, today’s Budget reinforces the Government’s ambition to deliver the ‘most ambitious’ planning reforms in a generation, with the forthcoming Planning and Infrastructure Bill positioned as the key vehicle to unlock new housing and critical infrastructure once it becomes law.”
He welcomed proposals designed to accelerate delivery, including requiring councils to notify Government before rejecting major housing schemes and efforts to reduce delays in Judicial Reviews:
“These measures should help ensure that significant applications receive fair, balanced consideration and that legal delays do not stall progress unnecessarily.”
However, Ramsay cautioned that reforms will only work if local planning authorities have the resources to deliver them:
“The £48 million announced to boost capacity, including funding for 350 additional planners and a new Planning Careers Hub, is a positive step, but long-term sustained investment is essential.”
He also urged caution around proposals to streamline consultees:
“Cutting consultees risks storing up problems later. The priority should be realistic deadlines, better-resourced teams and consistent, high-quality responses.”
Looking ahead, Ramsay highlighted the importance of future strategic planning decisions:
“The commitment to confirm new town locations by Spring 2026 signals a welcome intention to plan at scale, while acceleration of AI-driven planning reforms could bring real benefits if handled responsibly.”
“Overall, today’s announcements continue the right conversations, but delivering 1.5 million homes will require more than policy statements. True progress depends on investment, capacity and consistent implementation across the planning system,” Ramsay concluded.
Changes to business rates were also announced, but lacked the wholescale reform that stakeholders in the industry have been calling for. Discover more about what was announced on business rates, here.