On October 30, Chancellor Rachel Reeves is expected to roll out a series of potentially wallet-busting measures, from possible tax cuts to a state pension hike next April in the Budget.

Financial gurus say we are likely to see a rise in capital gains tax, a possible change to income tax and a shake-up of pension tax breaks. Although many changes are beyond individual control, some smart measures can mitigate the impact of households.

Telegraph Money notes that an increase in capital gains tax typically affects just 1% of taxpayers, for those who sell assets and make more than £3,000 profit per year, with rates ranging from 10% for the lowest incomes to 20% for the richest.

Gianpaolo Mantini, partner at Saltus Financial Planning, suggested Brits considering selling items would be better off doing so before the budget to mitigate any potential rate rises. He also pointed to allowances, such as tax-free transfers of assets to spouses, which can be a major relief for some.

Forecasts for the evolution of rates range from an alignment with income tax (20% for basic tax, 40% for top tax and 45% for additional tax) to an increase of 10% or less, according to HMRC analysis. Some suggest that the rules regarding capital gains tax strictly after death may change.

The Chancellor assured workers they would not be affected by the Budget. This is why many experts anticipate a tax change that will indirectly impact the majority of the population.

Many believe she is unlikely to increase the frozen personal allowance for income tax, which is only due to change in 2027 and will see more people pay income tax as the inflation will increase paychecks.

The Telegraph’s financial gurus have advised Brits who are about to move into a higher income tax bracket to try falling into a lower bracket. This can be achieved through programs such as salary sacrifice.

Inheritance tax reforms could be on the horizon, with experts at Hargreaves Lansdown exploring two scenarios:; either a reduction or an elimination of the zero rate bracket and the residence zero rate bracket. These changes could force UK residents to significantly change their estate planning strategies to avoid the high 40% tax rate.

Gianpaolo said: “The reason the Conservatives introduced the residential zero rate band was widespread dissatisfaction that more and more properties were falling into the IHT threshold, so (Labour) could simply simplify the calculator.”

Another expected change concerns allowances for transfers between civil partners or spouses. Professionals are urging those without suitable estate arrangements to take action, stressing: “Effective planning is essential”, to benefit from all available tax exemptions.

Furthermore, the proposal to introduce a consistent 30% tax break on occupational pension contributions is sure to spark debate. Sarah Coles, personal finance manager at Hargreaves Lansdown, suggested: “If you are concerned about changes to the tax relief scheme, then it’s a good idea to make the most of the system as it currently stands by contributing to your pension in the coming weeks.”