The Chancellor, John Healey, has ruled out any rise in capital gains tax (CGT) in the 28 October Budget, according to the Times, as reported by Reuters.
This goes further than last week's Financial Times report that he had rejected aligning CGT rates with income tax. Reuters says the FT had reported that a smaller rise was under consideration. The Times report contradicts that.
According to the Times, Healey is putting growth and business investment first. He was reportedly warned that a rise could cut revenue if wealthy people leave the country or delay selling assets.
The Times also reports that the Budget's main revenue-raising measure will be a levy on banks. The proceeds would fund targeted, temporary cost-of-living support.
The Treasury declined to comment on the report. In a statement quoted by Reuters, it said: "decisions on tax are a matter for the Chancellor to set out at fiscal events". Both the CGT decision and the bank levy remain unconfirmed until the Budget statement.
Reuters says CGT is currently charged at 18% for basic-rate taxpayers and 24% for higher-rate taxpayers, and that it raised £24bn in 2025/26.