The Chancellor’s Budget today marks a clear shift in the economic landscape. While the headline themes remain familiar, stability, investment and regional growth... the detail reflects a tougher fiscal reality.

With tax rises aimed at repairing public finances and adjustments to corporate allowances, this is a Budget that brings both challenge and opportunity for the commercial property industry.

1. Capital Allowances and Investment Incentives Have Shifted

The cut to writing-down allowances and the introduction of a 40% first-year allowance from 2026 change the equation for business investment.
It’s no longer simply about acceleration, it’s about strategic prioritisation.

For occupiers, developers and investors, capital deployment now needs sharper modelling, stronger rationale and a clearer link to long-term value. This is where our advisory role becomes even more critical.

2. A New Tax Environment to Navigate

With freezes to thresholds and higher taxes on dividends and wealth segments, the broader economy will feel the effect.
This may influence:
• Occupational demand
• Expansion planning
• Consumer-facing sectors
• Yield expectations

Our job is to help clients understand how these shifts affect portfolios, funding structures and decision-making in the months ahead.

3. Regional Growth Still Holds but Delivery Matters

Despite a tighter fiscal environment, the Government has reaffirmed commitments to regional development, infrastructure improvement and strategic investment.

This reinforces what I’ve said consistently: the regions remain the engine of the UK’s next cycle, but unlocking their potential will depend on delivery, not just announcements.

Our regional strength positions us at the centre of this.

4. Planning, Housing and Regeneration: Still a Priority, Still a Challenge

Funding to support brownfield development, planning capacity and regeneration programmes is welcome.
But the constraints remain familiar:
• Planning delays
• Resourcing gaps
• Uncertainty around timelines

Commercial viability and collaboration are going to be the real levers of progress.

5. Sustainability and the Built Environment Continue to Drive Strategy

Funding for energy infrastructure and clarity around carbon pricing reinforce the direction of travel: Decarbonisation, retrofitting and energy-efficient repositioning are non-negotiable.

This is where forward-looking investors and landlords will generate long-term resilience.

The Bottom Line

Budget 2025 signals a more demanding environment, but also one where clarity of strategy, strong advice and regional insight will matter more than ever.

For clients, the message is simple:

* Understand the shifts.
* Plan ahead.
* Position intelligently for the next cycle.

And across our group, we are ready to help do exactly that.