The budget must show us that hard work pays

This article was originally published in The Times on 21 September 2026 and looks at the upcoming Autumn Budget.

There’s too much focus on how to divide the economic pie when the important thing is to make that pie bigger. Over to you, chancellor

Last week I spoke to a room full of British savers and investors. There was plenty to enjoy — a brilliant Soho venue, a talented jazz trio and a fascinating cross-section of professions, perspectives and experience.

One topic and one question surfaced repeatedly. The topic was the budget that is five weeks away, and the big question was: what should we expect and what might it mean for our financial plans?

Recent comments from the prime minister suggest there is little appetite to confront the excesses of welfare spending or the pension triple lock, which are putting unsustainable pressure on our public finances. If that is the case, how will the government balance the books, and who will bear the burden?

These questions matter because uncertainty changes behaviour. In the run-up to budgets speculation has often became a story in its own right. Rumours about pensions, inheritance tax and capital gains tax have encouraged many to make decisions before the facts were known. Some will have benefited, others may have acted more quickly than they should have done. That is not a healthy environment for long-term financial planning.

We all make better decisions when the rules are clear and trusted to stay that way. This is a key priority of The Times’s Smarter with Money campaign. Whether it is saving for retirement, investing for the future, supporting family members or building a business, confidence matters, as do stability and certainty.

So while there has been much discussion about those choosing to leave the UK, the bigger question is what message is being sent to the millions of us who remain. The people who work hard, pay taxes, save diligently and want to build their future here need to trust that long-term wealth creation is encouraged rather than frowned upon or, in extremis, vilified.

Governments, like companies, ultimately rely on creating conditions for success. The comparison is not perfect, but successful companies understand that their growth benefits those connected to them. Employees, customers, shareholders and suppliers have a stake in long-term success. It’s not so different for governments. Economic growth and wealth creation expand the pool from which public services and social support are funded.

The question is not whether those with broad shoulders should contribute, because they do — a lot. It is whether policymakers are paying sufficient attention to how much weight those shoulders can realistically carry.

The government cannot simply ask the same people to contribute ever more, or move the goalposts to achieve that outcome through freezing thresholds and allowances. At some point the focus has to shift towards increasing productivity, encouraging investment and broadening participation in wealth creation.

The debate is too focused on how to divide the economic pie rather than how to make it larger. Higher living standards, stronger public finances and greater opportunities for future generations depend on productivity. A more productive economy generates higher wages, stronger investment and a broader, more sustainable tax base.

Five weeks from the budget, I don’t want endless conjecture about possible tax grabs or speculation that encourages rushed decisions. We need a serious approach to creating a backdrop that rewards effort, celebrates success, encourages investment and improves productivity. And we, the investing public, need to know that decisions we make to preserve and grow hard-earned wealth will be supported by a clear, fair and consistent framework. These are the ingredients that generate prosperity, raise living standards and ultimately fund public services.

When the chancellor speaks on October 28 we need to believe that Britain is a country where hard work, investment and ambition are valued — then we will confidently invest, energetically build and happily contribute more.

This article is for informational purposes only and does not constitute financial advice. This is the opinion of Charlotte Ransom as of 21 September 2026 and if you are unsure as to whether disinvesting or investing is suitable for you, please seek advice.