Mansion House Speech 2025: Financial planning implications for individuals, families and business owners

Chancellor Rachel Reeves’ 2025 Mansion House speech outlined a broad set of reforms aimed at strengthening the UK’s economic foundations and financial services sector. While the speech was wide-ranging, several announcements are particularly relevant for individuals, families and business owners, especially those focused on long-term financial planning, tax efficiency and legacy strategies.

Here are the key developments and what they may mean for your financial plans.

The Chancellor highlighted falling interest rates, a record-high FTSE 100, and £120 billion in new private investment over the past year. These indicators suggest a more stable and growth-oriented environment.

Planning insight: Lower interest rates may reduce borrowing costs for property purchases, business expansion, or intergenerational lending.

Meanwhile, improved market sentiment could support long-term investment strategies, including trusts and family investment companies.
Remember, investments carry risk and you may get back less than you originally invested.

The government is progressing with the creation of large-scale pension “megafunds” and encouraging schemes to allocate more capital to private markets, including UK infrastructure and growth assets.

Planning insight: This shift may increase the availability of institutional-grade private investments. For clients with Self-Invested Personal Pensions (SIPPs) or family pension schemes, it could open new avenues for diversification and long-term capital growth.

Consolidation within the pensions industry could also limit your choice and there may be additional risks involved in megafunds.

LTAFs are vehicles designed to hold illiquid assets like private equity, infrastructure, and real estate, and they will now be eligible for inclusion in stocks & shares ISAs.

Planning insight: This change allows investors to access alternative assets within a tax-efficient wrapper. For high-net-worth individuals already maximising ISA allowances across family members, this could enhance diversification and long-term growth potential without incurring income or capital gains tax.

Illiquid assets are, by definition, hard or impossible to move out of, and this can increase overall portfolio risk.

The launch of the Private Intermittent Securities and Capital Exchange System (PISCES) platform (a new private market exchange) and reforms to the UK’s listing regime aim to make it easier for companies to raise capital and for investors to access earlier-stage opportunities.

Planning insight: These developments may increase access to private company shares and pre-IPO opportunities. For clients using family offices or discretionary portfolios, this could support more bespoke investment strategies aligned with long-term wealth goals.

Investing in private companies on PISCES may involve extra risks compared to trading in public companies.

The Chancellor announced reforms to streamline financial regulation, including faster authorisation processes and a review of the Senior Managers and Certification Regime.

Planning insight: For clients involved in regulated businesses (particularly family-owned financial or professional services firms) these changes may reduce administrative burdens and support smoother succession planning or business sales.

Changes to capital requirements for banks and mortgage lending rules are expected to increase credit availability. Nationwide, for example, has already expanded its “Helping Hand” mortgage offering.

Planning insight: Greater mortgage flexibility may support intergenerational planning, such as helping children or grandchildren onto the property ladder, or refinancing family assets more efficiently.

The government is reviewing ISA rules and risk warnings, with a focus on improving outcomes for savers and encouraging broader participation in capital markets.

Planning insight: While details are still emerging, future ISA reforms could create new planning opportunities. High-net-worth families may wish to revisit how they use ISAs across generations to maximise tax efficiency and long-term wealth transfer.

ISA and tax rules remain subject to change.

New trade agreements with the US, EU, India, China and Switzerland include provisions for financial services cooperation.

Planning insight: These agreements may simplify cross-border investment and business structuring. Clients with international assets, family members abroad, or global business interests may benefit from reduced regulatory friction and enhanced planning flexibility.

The 2025 Mansion House speech reflects a government aiming to increase long-term economic resilience and improve financial sector competitiveness. For high-net-worth individuals and families, these changes could present opportunities to enhance tax efficiency, diversify portfolios and align wealth strategies with a changing regulatory environment.

At Evelyn Partners, we’re here to help you assess how these developments may affect your financial plan, whether you’re focused on retirement, legacy planning, philanthropy or business succession.