Our thoughts on the Autumn Budget 2026

Today the Government set out its plans for public spending in the Autumn Budget.

Here, Annabeth Taylor,  our policy and influencing officer, sets out our thoughts…

Earlier this month, we set out what we hoped to see from the Government’s Autumn Budget.  We highlighted the changes needed to prevent more people being pushed further into poverty and hardship, and called for policymaking that promotes human flourishing. 

Today’s Budget comes at a time when too many people are impacted with the rising cost of living. 

Through our services, we meet people every day who are experiencing poverty, homelessness and disadvantage.  We recognise the Chancellor’s intention to offer some breathing space and we continue to call for long-term solutions that bring meaningful relief to those who need it most. 

We’ve been greatly encouraged by the Prime Minister’s ambition to end rough sleeping, and we welcome the Government’s continued commitment to increasing the supply of social housing and the funding allocated to tackling homelessness.  Ending homelessness will require local authorities and the voluntary sector to be properly funded, alongside sustained investment in social housing.  These announcements are therefore welcome and represent important steps in the right direction. 

However, people experiencing and at risk of homelessness desperately need housing that is affordable now.  That is why we’ve been calling for Local Housing Allowance (LHA) rates to be unfrozen and uplifted in line with local rents.  We are grateful to the local MPs who have advocated on our behalf in recent weeks, outlining to ministers our calls for change. 

Therefore, we are disappointed that LHA rates remain frozen following today’s Budget.  Support for private renters on low incomes continues to fall well below the reality of local housing costs, leaving too many households facing impossible choices and limiting routes out of homelessness for individuals and families for whom private renting is unaffordable. 

The Chancellor himself said today that “hope starts with a home”, and we will continue to call on the Government to make the changes needed so that all people have a safe, secure place to call home, giving them hope for the future. 

Rising energy costs continue to push people deeper into debt and financial hardship.  Therefore, we welcome announcements made today which will reduce energy bills for many households.  This includes the removal of standing charges for gas, the VAT cut from electricity bills being extended, and a £100 payment for people in council tax bands A to D. 

These changes will lower costs for people we support who have low energy usage and those with pre-payment meters.  However, we would like to see future support more closely targeted towards those facing the greatest hardship, ensuring that resources reach the households who need them most. 

We also hoped to see further action to strengthen social security so that everyone has enough income to meet life’s essential costs.  Lasting change requires a system that provides a genuine safety net, protects people from hardship and helps prevent poverty before people reach crisis point. 

Through our work, we see every day the reality behind the numbers: people pushed into hardship by rising costs and low incomes.  That is why we continue to press for the changes that would truly make a difference to people and help end poverty and homelessness.  

While today’s Budget contains some welcome measures, further action will be needed to prevent more people from being pulled into poverty and homelessness and to ensure that everyone can live with dignity and hope for the future. 

We’ll continue to listen to the experiences of the people we support and engage with policymakers, asking them to put people at the heart of decision making and help build a society where everyone has the chance to thrive. 

Read more about our campaigning work and what we are calling for from decision makers