As the end of the 2025/26 tax year approaches, it’s time to review your financial plan and ensure you’re making the most of available tax allowances. Here are five smart financial moves to consider before the tax year ends:
- Use your ISA allowance
ISAs are free from Income Tax and Capital Gains Tax, so are one of the easiest ways to build wealth tax-efficiently. Whether you choose a Cash ISA for short-term needs or a Stocks & Shares ISA for long-term growth, now is the time to check your current contributions, top up your ISA, or set up regular savings. Children under 18 also have a £9,000 allowance. - Plan for Capital Gains Tax (CGT)
Capital Gains Tax rates have increased to 18% for basic-rate taxpayers and 24% for higher-rate taxpayers, aligning taxes on assets like shares, unit trusts, and OEICs with residential property gains. To reduce the tax impact, consider using tax-efficient products like ISAs and pensions. - Maximise pension contributions
Pensions remain one of the most tax-efficient ways to save. You can contribute to your own pension or help younger family members by contributing to their pensions. These contributions are tax-deductible and grow tax-free, providing a strong financial foundation for future generations. - Check excess cash balances
Holding excess cash inside wrappers or on deposit can reduce long-term returns. If you’ve built up cash ‘just in case’, we’ll help you review your cash holdings and decide whether it should be invested, or kept for short-term needs. If you’re not ready to invest all at once, you can consider staging the funds into the market to minimise timing risks. - Tidy up your investment portfolio
Markets move around, especially when there are headlines such as recent US trade and tariff announcements. The key is to focus on the long term. Reviewing your investments helps ensure they still fit your goals, risk tolerance and capacity for loss, and rebalancing can help keep your portfolio on track. If you’re worried about what this means for you, your Financial Planning Manager can talk it through with you before you make any changes.
Take action now
To maximise your tax allowances and stay on track with your financial goals, contact your Financial Planning Manager for a quick year-end review. They’ll help assess your strategy, make sure you’re using available tax allowances, and ensure you’re well-positioned for the new tax year ahead.
Don’t wait until the last minute – review your financial plan today!
We’re here to help
If you’d like some help with your financial planning or chat through the investments you hold with Aegon Financial Planning, contact your Financial Planning Manager, call us on 0800 464 3079*, or request an appointment using the button below.
* Call charges vary. Lines are open Monday to Friday between 8.30am and 5.30pm. All calls are recorded for business purposes. Afp247. Exp 02/27
Market Commentary – Quarter 4, 2025