As we approach the end of the tax year, it provides a natural opportunity to pause and review a few key financial areas.
As part of our ongoing planning process for clients, Wells Gibson monitors relevant tax allowances throughout the year. Please be assured that if we believe there are unused allowances you ought to be considering, and which we feel may be appropriate for you to act upon, we will be in touch directly.
Below is a reminder of the allowances Wells Gibson will be reviewing this time of year, which may serve as a helpful prompt for readers’ own planning discussions.
Make the Most of Your Allowances
ISAs
Have you used as much of your £20,000 annual ISA allowance as makes sense for you? ISAs offer tax-free growth and income and remain a core building block for long-term flexibility.
Any ISA contribution should reflect what you’re planning for, when you might need the money, and how easily you may need access to it.
Pensions
Are your pension contributions on track, and have you reviewed whether additional contributions before 5 April would be appropriate within the £60,000 annual allowance?
Before making additional pension contributions, it’s important to consider your overall retirement plans and ensure any payments are appropriate for your circumstances and available allowances.
Lifetime Gifting & Legacy
Inheritance Tax (IHT) Gifting
Remember the £3,000 annual gifting allowance, which can be carried forward for one year if unused. This allowance needs to be used before 5 April for the current (and potentially prior) tax year.
If gifting is part of your wider family or legacy plans, it’s often worth reviewing this regularly rather than leaving it to chance.
Gifting decisions should be aligned with long-term cashflow modelling to ensure you retain sufficient resources for your own future lifestyle and security.
Cash, Inflation & Investments
Cash Balances
Are you holding the right level of cash? Typically, we look for around 3–6 months’ expenditure for short-term needs and emergencies.
With inflation still relevant, excess long-term cash can quietly lose purchasing power — making it worth revisiting how surplus funds are positioned.
However, the appropriate level of cash reserve will vary depending on individual circumstances, income security and upcoming commitments.
Estate Planning Essentials
Are your Will and Lasting Powers of Attorney up to date?
Do the right people understand your wishes?
If long-term care or family complexity is a concern, this can be a good time to revisit conversations — before decisions are needed.
While we do not provide legal advice, we work alongside trusted professionals to ensure estate planning remains aligned with your financial strategy.
Cybersecurity & Digital Safety
With increased use of AI, impersonation and social engineering scams, protecting personal and financial data matters more than ever.
Simple Steps
Strong passwords, verification checks, and awareness — can significantly reduce risk, particularly for high-net-worth households.
If you are ever unsure about a communication appearing to come from Wells Gibson, please contact us directly using your usual contact details.
Looking Ahead: Business Owners
For those with qualifying income over £50,000, Making Tax Digital for Income Tax is currently scheduled to apply from April 2026.
While there’s time, early awareness allows for smoother preparation and fewer surprises later.
We recommend speaking with your accountant to understand how this may apply to your situation and to coordinate planning accordingly.
Financial planning is not about reacting at the end of each tax year, it is about making thoughtful, timely decisions with clarity and confidence. Whether you are an existing client of Wells Gibson or exploring your options, our focus remains the same: helping you make informed decisions that create financial peace of mind.
If anything above prompts a question or conversation, our team would be delighted to assist.
Risk Warnings
This article is provided for information and educational purposes only and does not constitute personal financial advice, financial planning advice, or a recommendation to engage in any financial planning strategy or service.
The content reflects views at the time of publication and may change. Any references to financial planning scenarios or outcomes are for illustrative purposes only, and past performance is not a reliable indicator of future results.
The value of investments and any income from them can fall as well as rise, and you may not get back the amount invested. Financial planning involves risk, and no strategy can eliminate risk or guarantee outcomes.
This article does not take account of individual objectives, financial circumstances, or tolerance for risk and should not be relied upon when making financial decisions. Regulated financial advice should be sought where appropriate.
Wells Gibson Limited is authorised and regulated by the Financial Conduct Authority (Firm Reference Number 731027).
