Autumn budget 2025: What architects need to know

The Autumn Budget is almost here. For architecture practices, understanding the potential changes early can make a big difference. Planning ahead means you can seize opportunities, avoid risks, and position your practice to respond quickly to government announcements.

At A4G, we work with architects to translate budget news into practical actions. Here are some predictions and steps your practice can take.

Tax changes and how they could affect your cashflow

Corporation tax, capital allowances, and research and development relief are likely to be on the agenda. Architects should consider how changes could impact profits and investment decisions.

• Corporation tax: Any increase in rates could reduce retained profits. Early planning can help manage liabilities efficiently.

• Capital allowances: Spending on design software, modelling tools, or energy-efficient equipment could attract enhanced relief. Budget updates may adjust these incentives.

• R&D relief: Innovative design work, such as sustainable building techniques, may qualify. Check eligibility and prepare claims in advance.

What to do now:
List planned investments or innovation projects. That way, you can act quickly if allowances or reliefs change.

Planning and sustainability incentives

Sustainability is becoming central to government policy. Architects involved in net-zero or energy-efficient design could benefit from incentives.

• Possible grants or tax relief for projects reducing carbon emissions

• Support for retrofitting or using sustainable materials

• Potential changes in planning rules affecting project costs and timelines

What to do now:
Review upcoming projects and identify where sustainability measures align with potential incentives. Preparing now allows your practice to act immediately once details are announced.

How construction sector funding could impact your practice

Even though architects are not building structures, changes in construction funding can affect project availability and client budgets.

• Increased public infrastructure investment could create new design opportunities

• Delays or cuts in government-backed projects could reduce work pipelines

• Developers may adjust project budgets in response to tax changes

What to do now:
Stay in close contact with clients and industry contacts. Anticipating where funding might increase or decrease helps target opportunities strategically.

Employment and contractor costs

Any changes to employment taxes, National Insurance, or contractor rules could influence how you manage your team.

• Practices using a mix of full-time staff and contractors may need to adjust hiring or fees

• Pension contributions, benefits, and compliance costs could change

What to do now:
Review workforce structure and contracts to remain cost-efficient. Planning early helps avoid unexpected costs and ensures flexibility.

Preparing for the budget

Here are practical steps for architecture practices ahead of the Autumn Budget:

• Identify key areas of spend or investment that could be affected

• Review R&D or innovation projects for eligibility for reliefs

• Assess upcoming projects for sustainability opportunities

• Check staffing and contractor costs to manage potential tax impacts

• Book a consultation with your accountant to prepare for rapid action once the Budget is announced

Thought to consider:
If a client delays a project because of funding changes, how will that affect your cashflow? Could missing out on a capital allowance claim leave thousands unclaimed? Considering these questions now gives your practice a significant advantage.

Join our Autumn Budget event

Understanding the budget in theory is one thing. Knowing how it directly affects your practice is another.

Join our Autumn Budget event on 3rd December, where our experts will break down the announcements, explore the practical impact on your practice, and specific advice. Spaces are limited, so register today to secure your place.

Register for the Autumn Budget event