Chancellor urged to make CGT and IHT changes to address £22bn fiscal hole

Think tank the Resolution Foundation made the recommendations

Linus Uhlig
clock • 3 min read

The Resolution Foundation has urged chancellor Rachel Reeves to implement a series of reforms to inheritance tax (IHT), capital gains tax (CGT) and National Insurance on employers’ pension contributions, as she works to address the £22bn fiscal deficit in the upcoming Autumn Budget.

In its Revenue and reform report released today (10 September), the think tank said its three proposed reforms could raise more than £20bn while still meeting the ‘triple tax test' of increasing tax system efficiency, not breaching manifesto commitments and allowing those with the "broadest shoulders" to take the most significant hit.  CGT in particular "should be a key focus" for the chancellor, according to the Resolution Foundation, by aligning marginal CGT rates for shares with dividend tax rates, as well as taxing capital gains from property like wages.  "In addition, there shoul...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Tax planning

Govt mulls introducing lifetime limit on IHT gifting – report

Govt mulls introducing lifetime limit on IHT gifting – report

Treasury also reviewing rules around taper rate

Jenna Brown
clock 13 August 2025 • 4 min read
Phillip Wickenden: Frozen thresholds and the art of distraction

Phillip Wickenden: Frozen thresholds and the art of distraction

'In truth, the biggest "tax rise" coming our way is already happening'

Phillip Wickenden
clock 07 August 2025 • 5 min read
UK tax shake-up: Why the wealthy are looking elsewhere

UK tax shake-up: Why the wealthy are looking elsewhere

‘These reforms represent a profound shift in the UK’s stance on international wealth’

Eamon Shahir
clock 04 August 2025 • 4 min read