For many SME owners, the line between business and personal finance is thin. While 57% say income tax or National Insurance changes would affect how they run their business, and 55% cite VAT or new business-related taxes, a further 44% say changes to pensions or savings, such as ISAs or tax relief, would also shape their decisions. This reflects the dual role many small business owners play where they make strategic business calls while also managing their own financial futures. In a sector where personal and professional finances are often closely tied, SME leaders are anticipating the Budget’s wider impact, and preparing on both fronts.

Three in four SMEs (75%) expect the Autumn Budget to bring higher taxes or operating costs, a view shaped by experience and attentiveness to the current fiscal environment. Rather than waiting for announcements, many are preparing for this eventuality now and adjusting their business plans accordingly.

This includes scaling back growth activity in the short term, only 11% of SMEs plan to hire more staff in 2026, and just 7% intend to expand into new premises. At the same time, 37% expect to raise prices to manage rising input costs, while 32% are focusing on cost reduction to protect margins. These actions reflect a sector that is not retreating, but planning with caution and clarity.

Business owners are not asking for large-scale incentives. The overwhelming priority is predictability. Nearly three-quarters (72%) of SMEs said that long-term stability and certainty in tax and policy are more important to them than short-term stimulus. 

While 42% say they don’t expect this year’s announcement to place greater emphasis on small business needs than previous Budgets, they have called for a focus on reforms to existing reliefs, such as small business rates relief (39%) and reducing administrative and regulatory burdens (37%). A further 27% called for changes to business rates to remove “cliff edges” that discourage expansion into additional premises, and 25% said modernising tax and customs systems would help them navigate international trade more effectively.

Derry Crowley, Chief Executive Officer at Xeinadin, commented: “SMEs are clear in their priorities. They want a stable environment where they can make confident, long-term decisions. What this research shows is a sector that is proactive and planning ahead. At Xeinadin, we see this every day; clients aren’t looking for handouts, they’re looking for direction. The cost of uncertainty from the budget isn’t just in delayed decisions, it’s that the UK misses out on the growth and innovation SMEs can deliver. With the right signals from the government and a Budget that gives SMEs the confidence to plan ahead, these businesses will do what they do best: keep driving growth in their communities and across the economy.”

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