Capital Gains Tax Rates 2026/27: 18% & 24% Full Guide
UK CGT rates for 2026/27: 18% basic rate and 24% higher rate on all assets (property, shares, crypto). Annual exempt amount: £3,000. Business Asset Disposal Relief: 14%. This guide explains what changed in October 2024 and how the rates apply to your gain.
Last updated for the 2026/27 tax year.
Current CGT rates at a glance, 2026/27
Since October 2024, the UK uses a single CGT rate structure. The same rates apply to residential property, shares, crypto and all other assets. There is no longer a separate higher rate for property.
What changed in October 2024?
The Autumn Budget of 30 October 2024 made significant changes to CGT rates, effective from that date:
For shares, the October 2024 Budget raised rates substantially. For residential property, the higher rate actually fell from 28% to 24%. All disposals on or after 30 October 2024 — including those in 2026/27 — use the new rates.
How the rate is determined: income and gains stacking
Your CGT rate depends on how much of the basic-rate band remains after your other taxable income. The calculation:
- Calculate your taxable income (gross income minus £12,570 personal allowance)
- Subtract from the basic-rate band limit (£37,700) to find remaining basic-rate band
- The first slice of your taxable gain fills this remaining band at 18%
- Any gain above that remaining band is taxed at 24%
Example: salary £40,000. Taxable income = £27,430. Remaining basic-rate band = £37,700 − £27,430 = £10,270. A £20,000 gain (after AEA) splits: first £10,270 at 18% = £1,849; remaining £9,730 at 24% = £2,335. Total CGT = £4,184.
If your salary is above £50,270, there is no remaining basic-rate band. Your entire taxable gain is at 24%.
The £3,000 annual exempt amount
Before applying the rates, subtract the £3,000 annual exempt amount from your net gains. Gains below £3,000 in a tax year are free from CGT. The AEA is applied after current-year losses. Brought-forward losses are only applied to the extent needed to reduce the gain to the AEA level — they don't eat into the AEA itself.
The AEA is use-it-or-lose-it. You cannot carry it forward or transfer it to a spouse. Each partner in a couple has their own £3,000 (£6,000 combined). The AEA was £12,300 in 2022/23 and was cut to £3,000 from 2024/25 onwards.
Use the CGT allowance calculator to see how much of your AEA remains after previous disposals this year.
Business Asset Disposal Relief, 14% rate
BADR gives a reduced 14% rate on qualifying gains up to a £1 million lifetime limit. It applies to shares in personal trading companies where you hold at least 5%, have been an officer or employee for 2+ years, and the company is a trading company. The rate rose from 10% to 14% in October 2024.
A further increase to 18% is scheduled from 6 April 2026. The disposal date determines which BADR rate applies. You must claim BADR on your Self Assessment return.
The 60-day reporting rule for residential property
Sell a UK residential property with CGT owed and you must report and pay within 60 days of completion. Use HMRC's online property reporting service. Late reporting triggers automatic penalties starting at £100. Non-property gains are reported through Self Assessment by 31 January.
Calculate your CGT at 2026/27 rates
Enter your gain, costs, losses and income for an instant CGT breakdown at 18% and 24%.
Open the CGT calculatorFrequently asked questions
What are the CGT rates for 2026/27?
18% for gains within the basic-rate band (income + gain within £50,270) and 24% for gains above it. These rates apply to all assets, property, shares, crypto. Business Asset Disposal Relief is 14% on qualifying gains up to £1m lifetime.
What is the CGT rate on residential property in 2026/27?
18% (basic rate) or 24% (higher rate). The previous higher rate for property was 28%, reduced to 24% from October 2024. There is no longer a separate rate for property versus shares.
What is the CGT annual exempt amount for 2026/27?
£3,000 per individual. Net gains below this in a tax year are completely free from CGT. The AEA was cut from £12,300 to £3,000 in April 2024.
Do pension contributions affect CGT rates?
Yes, indirectly. Pension contributions reduce your taxable income, which can create more basic-rate band headroom for your gain to be taxed at 18% rather than 24%. Each £1,000 of income brought below the higher-rate threshold shifts £1,000 of gain from 24% to 18%, saving £60.
Official sources
This page is for general information only. Rates and rules change, always verify with HMRC or a qualified tax adviser for your specific situation.