Chancellor John Healey kills the Labour Left's hopes of a capital gains tax raid in next week's Budget
HMRC estimated last year that lifting the higher CGT rate by 10% would cut Treasury receipts by £3.6billion in 2028-9. Investment firms cheered the end of speculation, and Rathbones reported a flood of clients rethinking asset sales. Lord O'Neill of Gately, who has advised Andy Burnham, warned a rise would send 'very much the wrong message to business'. Banks now look set to face a Budget tax raid instead.
CGT sits at 24% for higher-rate payers, against 40% income tax on the same earners.
Fears of a higher levy sparked asset sell-offs before the last two Budgets.
Healey vowed last month: 'I want to draw the line' on soaring business costs.
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City A.M.Investors cheer end of ‘damaging’ capital gains tax Budget speculationBBC News - BusinessChancellor rejects calls to raise Capital Gains Tax in BudgetThe SunLabour drops plans for brutal wealth tax raid in next week's BudgetDaily MailChancellor kills Labour Left's hopes of CGT hike in BudgetEvening StandardChancellor John Healey 'rules out increasing capital gains tax' in BudgetThe GuardianHealey to reject calls to raise capital gains tax in budgetEvening StandardJohn Healey rejects calls to raise capital gains tax at the BudgetCity A.M.John Healey rules out capital gains tax hike in BudgetGB NewsJohn Healey risks Labour civil war as Chancellor forced to rule out capital gains tax hike amid fears of investor exodusLBCI've spent 20 years building my egg business. The Budget must give farmers like me a reason to investThe GuardianNige seems tired and bored of himself as Kemi conjures a telepathic budgetThe IndependentTell us how you’re going to pay for defence spending, Badenoch urges chancellor ahead of Budget
