There has been plenty of speculation about what the Chancellor, Rachel Reeves, may announce when she delivers the Mansion House speech today, Tuesday, 15 July. The annual address, given to industry bosses and senior bankers, is seen as a glimpse into the Government’s thinking around financial regulation and any changes that it might be planning.
As such, what Reeves says could have significant implications for your money. Little surprise then, that financial experts and the media have taken a great deal of interest in what the Chancellor might say, or even hint at, when she takes to her feet.
Read on to discover two areas of finance that might be included in the speech, and what it could mean for you.
The Cash ISA allowance
You may have seen headlines in recent weeks predicting that the Chancellor could use the speech to outline plans to slash the Cash ISA allowance. In 2025/26, you can place up to £20,000 into a Cash ISA or a Stocks and Shares ISA, or split the amount between both.
In recent weeks the media has speculated that the Chancellor could be planning to reduce the allowance for Cash ISAs to as little as £5,000. That said, the allowance for Stocks and Shares ISAs would remain at £20,000, meaning those who use the accounts to invest their money could enjoy a higher level of tax-efficiency.
The move was aimed to encourage more investment because of Government concern that there is an imbalance between Stocks and Shares ISAs and Cash ISAs. This concern is backed up by data from the Building Society Association (BSA), which reveals that 40% of Britons have a Cash ISA, while 21% have a Stocks and Shares ISA.
Treasury officials hope that cutting the Cash ISA allowance might help to nudge consumers towards investing, which in turn, could help to boost the economy. Furthermore, as investing has tended to provide greater growth potential historically, it could help to boost returns on ISAs.
Please remember that previous performance of the stock market is no guarantee of future performance, and you may receive back less than you originally invested.
However, the idea to reduce the Cash ISA allowance resulted in intense criticism from consumers and building societies alike. Because of this, the Chancellor is now not expected to reduce the Cash ISA allowance and instead announce a campaign to promote understanding of investing and the stock market.
Cash ISAs may not be out of the woods just yet
While reducing the Cash ISA allowance may not be something the Chancellor is now considering for the short term, Money Week reveals it may still happen in the future. If after further consultation a cut in the allowance is still seen as the desirable option, Reeves may yet announce it in her 2025 Autumn Budget.
Another thing that could impact savers and investors alike would be a lifetime cap on ISAs – something that may be included by Reeves when she delivers her speech. According to the media, the cap was proposed by the Resolution Foundation, which suggested a lifetime limit of £100,000.
If the Chancellor does press ahead with an ISA lifetime cap, millions of people across the UK could see the amount of tax-efficient savings and investments they’re allowed to have slashed.
Pensions may come under the spotlight
According to pundits, Reeves may be preparing a major shake-up of the UK pension landscape, which might be included in her Mansion House Speech. Furthermore, the Chancellor might use the speech to kickstart the pensions adequacy review and examine the State Pension.
According to the media, this may even include plans to ditch the ‘triple lock’ guarantee in the future. Typically, the guarantee is used by the Government to determine how much the State Pension increases by every tax year, and is normally the higher of:
• average wage growth
• the rate of inflation
• 2.5%.
However, the Office for Budget Responsibility (OBR) has claimed the cost of the triple lock has soared to around three times more than initial expectations. This has been largely driven by higher levels of inflation and earnings figures, which means the lock will cost £15.5 billion each year by 2029/30.
While the Government has pledged to keep the triple lock during this parliament, with so much pressure on the public purse, the Chancellor may feel something has got to give. If this happens, those retiring in the future may find themselves with a reduced State Pension, which could have implications for their standard of living when they stop working.
Get in touch
As you can see, if you have an ISA or are planning your retirement, what the Chancellor says during her Mansion House Speech could affect you. The good news is that we are here to help and can provide you with a greater understanding of your options if any of the above scenarios do become a reality in the future.
If you would like to discuss how we could help you, please call 0333 010 0008 or click here. We would be happy to arrange a no obligation initial meeting with one of our independent financial advisers.
15 July 2025