Will the Autumn 2026 UK budget make the lives of Better Food Traders easier? That’s what we’ve been exploring, and the honest answer is yes, and possibly no.
Here’s what we’ve picked out as important information for traders in our network.
The good news: business rates
The key one for many of our members – the Small Business Rates Relief threshold for qualifying businesses in England is going up from £12,000 to £18,000. That’s expected to remove business rates bills entirely for around 70,000 high-street businesses from April 2027. The tapered relief band is also rising, from £15,000 to £21,000, so more businesses will get some help even if they don’t qualify for full relief.
A few other useful changes:
- The trading allowance triples from £1,000 to £3,000, so people with small side incomes, such as weekend market stalls, side hustles or new ventures, can earn more before paying tax
- From 2029, self-assessment taxpayers will be able to pay in smaller, more regular instalments, which could ease cash flow.
- £10 million in alcohol duty relief for around 2,000 small British brewers and cider producers.
- A new young entrepreneurs allowance which will support living costs for new young founders in the early days of their businesses, and a new £200 million scaleup programme to support female founders. We hope to see some of this fund going to emerging Better Food Traders.
Fairer support for self-employed parents
It was good to see that for the first time, eligible self-employed fathers, partners and adopters will receive parental pay from April 2029. Many people in the Better Food Traders network run their own food enterprises, and this is a welcome step towards recognising them.
The possible squeeze: wages
A 3.9% increase in both the National Living Wage and National Minimum Wage has been confirmed from 1 April 2027. That 3.9% increase in National Minimum Wage will make some employers nervous. Everyone deserves a living wage, but when the minimum wage rises, so does the cost to the employer, meaning businesses with already tight budgets will feel the squeeze even more in this area.
Our overall take:
This was a pretty unexciting Budget for food traders, with small shifts both good and bad. The rates relief is a real positive for high-street shops and grocers, and new investment in young people and women could see new energy in our sector, but rising staff costs will keep margins tight.
We’ll be listening to our members to see how the budget is affecting them and offering training and advice where we can.
If you’re interested in learning more about joining the Better Food Trader’s network, find out how on the ‘join us’ page.
