Thu, 27 Nov 2025

Thu, 27 Nov 2025 Nine ways the Budget could affect you if you're under 25

The chancellor's Budget contained a slew of measures which will impact young people specifically.
1. Minimum wages will go up from April, with the biggest pay rise for 18-20 year olds (85p to £10.85 an hour) and smaller rises for under-18s, apprentices, and over-21s. 2. The income tax threshold for student loans has been frozen at £28,470 until 2027-28, meaning those earning above this amount will pay more towards their student loans. 3. A new international student levy will be introduced in August 2028, charging universities £925 per overseas student per year to fund maintenance grants for disadvantaged students. 4. The tax rate on income from properties (e.g. rent) will rise by 2%, which could contribute to a "long-term rise in rents". 5. £1.5bn has been set aside over the next five years to help 16-24 year olds into work or training, including paid work placements and free apprenticeship training for small firms. 6. The "de minimis" loophole allowing overseas retailers to send goods worth up to £135 without customs duty will be closed in 2029, potentially making online shopping more expensive. 7. Pre-packaged milkshakes and coffees with high sugar content will face an extra tax from 2028, as part of a bid to tackle childhood obesity. 8. The Lifetime Isa (Lisa) may be replaced or reformed through a consultation starting in early 2026, potentially offering a simpler way for first-time buyers onto the property ladder. 9. Regulated rail fares in England will be frozen until March 2027, and bus fare caps will remain in place until then.
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