Capital Gains Tax Rates 2026/27: 18% & 24% Full Guide
UK Capital Gains Tax for 2026/27 is charged at 18% on gains that fall within your basic-rate band and 24% on gains above it (income + gain over £50,270).1 The same 18%/24% main rates apply to residential property, shares, crypto and most other assets since the October 2024 Budget (Business Asset Disposal Relief and Investors' Relief gains are 18% at any income level; carried interest is taxed as income from 6 April 2026). The first £3,000 of gains each year is tax-free (annual exempt amount),2 and Business Asset Disposal Relief is 18% on up to £1m lifetime gains from 6 April 2026.4
- Two main rates on most assets: 18% within your basic-rate band, 24% above it.1
- The old 28% property higher rate is gone - property and shares both sit at 24% now.1
- The tax-free annual exempt amount is £3,000 - down from £12,300 in 2022/23.2
- Business Asset Disposal Relief is 18% from 6 April 2026 (up from 14%), £1m lifetime limit.4
- A pension contribution that reopens basic-rate band moves gain from 24% to 18% - worth £60 per £1,000 (how it works).
- Checked against GOV.UK on 20 October 2026. The Autumn Budget is on 28 October 2026; no change to these rates has been announced, and we will update this page if the Budget changes them (what has changed so far; what is confirmed before the Budget).
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 main rates apply to residential property, shares, crypto and most other assets. There is no longer a separate higher rate for property. Exceptions: gains qualifying for Business Asset Disposal Relief or Investors' Relief are taxed at 18% whatever your income band (from 6 April 2026), and carried interest is taxed as income (Income Tax and National Insurance) from 6 April 2026. Estates being administered pay a flat 24% with no 18% band (see CGT for executors), and gifts between spouses are tax-free (see CGT between spouses).
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 had already fallen from 28% to 24% on 6 April 2024. 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%
| Taxable income (£40,000 − £12,570) | £27,430 |
| Basic-rate band left (£37,700 − £27,430) | £10,270 |
| First £10,270 of gain at 18% | £1,849 |
| Remaining £9,730 of gain 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%.
How much is Capital Gains Tax in 2026/27? Six examples
The table shows the CGT on a gain after costs, for someone with no other gains or losses this year. The £3,000 allowance comes off first, then the rest is taxed at 18% inside the basic-rate band and 24% above it. A salary of £30,000 leaves £20,270 of the band free; a salary of £60,000 leaves none.
| Gain after costs | Salary £30,000 | Salary £60,000 |
|---|---|---|
| £10,000 | £1,260 | £1,680 |
| £20,000 | £3,060 | £4,080 |
| £50,000 | £10,063.80 | £11,280 |
How the £50,000 gain on a £30,000 salary works: £50,000 − £3,000 = £47,000 taxable; the first £20,270 at 18% is £3,648.60 and the other £26,730 at 24% is £6,415.20, so £10,063.80 in total. The same gain on a £60,000 salary is all at 24%: £47,000 × 24% = £11,280. Your own figures go in the capital gains tax calculator; the allowance rules are in our CGT allowance 2026/27 guide, and losses come off first, as our capital gains tax losses guide explains.
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.
CGT allowance and rate history
The tax-free allowance has been cut sharply over the past few years, which is why more people now pay CGT even on modest gains. This is the annual exempt amount for individuals, year by year:
| Tax year | Annual exempt amount |
|---|---|
| 2021/22 | £12,300 |
| 2022/23 | £12,300 |
| 2023/24 | £6,000 |
| 2024/25 | £3,000 |
| 2025/26 | £3,000 |
| 2026/27 | £3,000 |
The allowance more than halved in 2023/24 and then halved again in 2024/25, so a gain that would have been fully covered in 2022/23 can now leave most of the profit taxable. Business Asset Disposal Relief, which applies to qualifying business sales, has also risen in steps rather than all at once:
| Disposal date | BADR rate |
|---|---|
| Up to 5 April 2025 | 10% |
| 6 April 2025 to 5 April 2026 | 14% |
| From 6 April 2026 | 18% |
Figures reflect HMRC rates for individuals. The lifetime limit for BADR remains £1 million of qualifying gains. See our sources for the official GOV.UK references.
Business Asset Disposal Relief, 18% rate
BADR gives a reduced 18% 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% from 6 April 2025, then rose again to 18% from 6 April 2026.
The disposal date determines which BADR rate applies: 10% up to 5 April 2025, 14% from 6 April 2025 to 5 April 2026, 18% from 6 April 2026. You must claim BADR on your Self Assessment return. The qualifying tests and a worked share sale are in our Business Asset Disposal Relief guide.
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. Our guide to capital gains tax on property works through a sale from price to payment.
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 calculatorSee the rates applied to real cases in our CGT worked examples.
Frequently 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 main rates apply to property, shares, crypto and most other assets. Business Asset Disposal Relief and Investors' Relief gains are 18% whatever your income (from 6 April 2026; BADR on up to £1m lifetime), and carried interest is taxed as income from 6 April 2026.
What is the CGT rate on residential property in 2026/27?
18% (basic rate) or 24% (higher rate). The previous higher rate for residential property was 28%, reduced to 24% from 6 April 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 £6,000 in April 2023, then 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.
Is crypto taxed at a different CGT rate?
No. Cryptoassets are taxed at the same 18% and 24% CGT rates as shares. HMRC treats most crypto held as an investment as chargeable to CGT, with the same £3,000 annual exempt amount and the same pooling rules as shares. Swapping one token for another counts as a disposal, so a gain can arise even if you never cash out to sterling. Mining, staking and airdrop rewards can be income rather than capital, which is a separate calculation.
How much is capital gains tax in 2026?
For 2026/27 (6 April 2026 to 5 April 2027) Capital Gains Tax is 18% on the part of your gain that fits inside your basic-rate band and 24% on the rest, after the £3,000 allowance. On a £20,000 gain that is £3,060 with a £30,000 salary or £4,080 with a £60,000 salary.
Is carried interest still taxed at CGT rates?
No. GOV.UK says you pay Income Tax and National Insurance contributions on carried interest you receive from 6 April 2026, instead of Capital Gains Tax.
This page is for general information only. Rates and rules change, always verify with HMRC or a qualified tax adviser for your specific situation.
Sources & references
The rates, allowances and rules in this guide are drawn from the official HMRC and GOV.UK sources below, checked for the 2026/27 tax year. Each link opens the relevant government page in a new tab.
- Capital Gains Tax: rates www.gov.uk/capital-gains-tax/rates
- Capital Gains Tax: allowances (annual exempt amount) www.gov.uk/capital-gains-tax/allowances
- Capital Gains Tax rates and allowances (HMRC) www.gov.uk/government/publications/rates-and-allowances-capital-gains-tax
- Business Asset Disposal Relief www.gov.uk/business-asset-disposal-relief