ON November 23, Phillip Hammond will deliver his first Autumn Statement as Chancellor.

He can be expected to set out the government’s assessment of the UK economy post-Brexit and to outline his economic strategy.

There will doubtless be some announcements on tax.

The latest UK Business Confidence Monitor published by the Institute of Chartered Accountants in England and Wales shows that businesses are preparing for a slowdown in profit growth and domestic sales over the next twelve months.

Many have put investment and recruitment decisions on hold.

This will impact on tax receipts and so the Chancellor will be looking for ways to boost growth and bolster tax revenues.

Where will he look for those extra tax revenues?

I suspect that one area will be pensions.

Over recent years we have seen numerous changes to the rules on pension contributions, with restrictions on the amount that can be contributed and on the total amount that can be saved.

Tax and national insurance relief on pension contributions has a price tag of around £35 billion a year.

It is possible therefore that the Chancellor could impose further restrictions on how much can be contributed or limit the rate of tax relief given.

It is also possible that he might look at the way national insurance impacts on contributions and at the tax free lump sum.

Another tax that has seen numerous changes over the years is capital gains tax.

Reliefs, particularly Entrepreneurs’ Relief, which restricts to 10 per cent the rate of tax on certain disposals of businesses or business assets may well be under review.

If you are currently planning on making use of tax reliefs that might be in the Chancellor’s sights, it may be prudent to talk to your accountant sooner rather than later to seek their advice.

If you are in business, tax will not be the only thing that will be of interest in the Autumn Statement.

The outlook for growth in the economy and inflation will be equally important. The slowdown in profit growth predicted by the ICAEW Business Confidence Monitor suggests that higher costs (partly as a result of the weakened pound), wage inflation and customer resistance to higher prices will all have an impact. Now is the time to look ahead and consider the effect these pressures might have on cash flow and on your working capital requirements.

Again, if you need guidance on financial modelling, a chat with your accountant would be timely.

  • Paul Aplin is a tax partner with A C Mole & Sons and Vice President of the Institute of Chartered Accountants in England and Wales; you can follow him on Twitter at @PaulAplinOnTax. He and fellow tax partner Amanda Gunter can be contacted on 01823 624450.