This is part of our monthly series. Catch up on last month’s summary here: What happened to global investment markets in October 2025?
In November, the UK saw Chancellor Rachel Reeves deliver the Autumn Budget - an annual statement setting out government spending for the year ahead. This year’s included an unusually long delay, a last-minute leak and plenty of mixed reactions.
Following the announcement, UK headlines focused on domestic policy, global markets continued to set the pace. While the US recorded another month of growth and Asian markets added to a strong year. For pension savers with globally invested portfolios, the Budget became a minor moment in a much wider global picture.
Keep reading to see how markets performed in November and why the long-awaited Autumn Budget had limited impact on globally invested pensions.
What happened to stock markets?
In the UK, the FTSE 250 Index fell by 0.4% in November. This brings the 2025 performance to +6%.
In Europe (excluding the UK), the EuroStoxx 50 Index fell by 0.2% in November. This brings the 2025 performance close to +15%.
In North America, the S&P 500 Index fell by 0.7% in November. This brings the 2025 performance to +16%.
In Japan, the Nikkei 225 Index fell by 4% in November. This brings the 2025 performance to +25%.
In the Asia Pacific (excluding Japan), the Hang Seng Index fell by almost 0.5% in November. This brings the 2025 performance to +32%.
The Autumn Budget 2025 and the impact on markets
This year’s Autumn Budget was one of the most talked-about in years, with the delay leading to weeks of speculation. But when it finally arrived on 27 November, markets reacted calmly - a clear contrast to the build-up beforehand.
Here are some key takeaways:
from April 2029, salary sacrifice pension contributions above £2,000 per year will be subject to National Insurance (NI) - a significant change to workplace pension arrangements;
pension tax relief remained unchanged despite months of speculation about cuts; and
for globally invested pensions, the Budget’s market impact was limited.
Read our full summary on what the Autumn Budget means for your pension.
An unusually long wait
UK budgets are normally delivered at the end of October. This year, the Chancellor moved it to 27 November. It may have looked like a small change, but the extra month added to the sense of uncertainty. Questions persisted about possible pension tax changes, Inheritance Tax (IHT) reforms and the scale of future tax rises. The steady flow of rumours began to affect confidence.
Consumer spending softened, some businesses paused investment plans, and a small number of savers made pension withdrawals based on concerns that hadn’t yet been confirmed.
The market reaction
Despite the lengthy run-up, the market response was calm. UK share indices rose on the day, government bonds strengthened and the pound gained against other major currencies.
After months of questions, a cautious approach offered reassurance. Once the details were known, markets moved on quickly.
What this means for your pension
Most pensions are invested across global markets, so UK decisions affect only a small part of a typical pot. In November, global momentum mattered much more than domestic headlines.
Here’s what pension savers may want to know:
- pension withdrawals can have lasting consequences, as they affect future contribution limits;
- while UK headlines focused on the Budget, US markets extended their winning streak and Asian markets saw another strong month; and
- the FTSE 250’s 3.8% Budget-week rise mattered far less than global market performance for most portfolios.
This is an example of global diversification working as expected.
The long-term perspective
This Budget cycle showed how easily speculation can build, especially when timelines shift.
For savers taking a long-term view, a few things stood out:
many of the feared changes didn’t appear;
markets absorbed the news quickly;
global portfolios continued to benefit from worldwide growth; and
staying patient helped avoid hasty decisions.
In the years ahead, the details of this Budget will matter far less than the long-term benefits of remaining invested and maintaining a diversified portfolio.
Global economic trends and future interest rate decisions are likely to have a bigger influence on pension performance than any single UK policy announcement.
Risk warning
As always with investments, your capital is at risk. The value of your investment can go down as well as up, and you may get back less than you invest. This information should not be regarded as financial advice.
