Budget 2026 announces five everyday fixes for households and workers

Summarised from 2 outlets · Updated 27 Oct, 17:33 · Archive

The Government has announced five changes including mileage allowance increases, food tariff cuts and extended parental pay.

Prime Minister Andy Burnham and Chancellor John Healey have announced five 'everyday fixes' for the Budget 2026, expected to be set out on Wednesday. These measures aim to help families and businesses across work-related travel, food prices, parental pay and support for unpaid carers, alongside plans to ease parcel sending and returns.

Millions of employees and self-employed people who drive for work will benefit from changes to the tax-free mileage allowance. The Government will make the existing 55p-a-mile rate permanent for the first 10,000 business miles, with mileage above that threshold increasing from 25p to 35p per mile. The package is expected to help around three million workers.

Shoppers could see savings on food bills through tariff removals on more than 100 products, including baked beans, chocolate and gherkins. The Treasury estimates these cuts will save households around £21 annually on food shopping. The changes are also intended to reduce costs for farmers by cutting tariffs on fertilisers, whilst households using kerosene for heating could benefit from a separate tariff reduction.

More than 150,000 parents a year are expected to benefit from an extension to parental pay, which will include self-employed fathers previously excluded from support. The Government has also promised to end the controversial Carers' Allowance earnings cliff edge.

How it is being reported

• Budget 2026 5 changes that could affect your money before ChristmasFive Budget measures have been revealed ahead of Wednesday, including mileage allowance changes, cheaper food, parental pay and support for carers.Herts Advertiser · 27 Oct, 17:04
• Budget 2026 5 changes that could affect your money before ChristmasFive Budget measures have been revealed ahead of Wednesday, including mileage allowance changes, cheaper food, parental pay and support for carers.The Comet · 27 Oct, 17:04

In this story: Andy Burnham · John Healey · Government · Treasury

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