Budget 2026: PwC comments on tax measures for entrepreneurs and private business

Will Dowsett, UK Private Business Tax Leader at PwC, says:

"On the face of it, the £10 million lifetime allowance for Founders Relief is a welcome incentive for people who build and grow businesses in the UK. However, the proposed eligibility criteria appear onerous, including conditions on ownership, turnover, employees, growth and R&D expenditure, all of which bring additional complexity and are subject to consultation.  

“It also takes us back towards territory we have seen before under the old Entrepreneurs’ Relief regime. There is a risk that continual changes to the reliefs around business ownership add complexity when what entrepreneurs often value most is a tax system that is stable and predictable. 

"More broadly, business owners will also welcome the fact that the Chancellor has left the main rates of capital gains tax and corporation tax unchanged. After a period of considerable tax change, certainty over those core rates matters when people are making long-term decisions about investment, growth and ultimately where to build their businesses."

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