Capital gains tax: how it works, and the pros and cons of another rise

Increasing the rate of CGT is one of the levers available to the chancellor as he considers revenue-raising options

Written by
Heather Stewart
Published by
The Guardian
Published
Length
110 words · 1 min
Capital gains tax: how it works, and the pros and cons of another rise
Capital gains taxExplainerCapital gains tax: how it works, and the pros and cons of another rise

Increasing the rate of CGT is one of the levers available to the chancellor as he considers revenue-raising options

Heather Stewart Economics editor Fri 25 Sep 2026 01.00 EDTLast modified on Fri 25 Sep 2026 05.02 EDTSharePrefer the Guardian on Google

Capital gains tax (CGT) has been widely cited as a possible revenue-raiser as the chancellor, John Healey, prepares to deliver a tough budget next month. How does it work, and what are the pros and cons of raising it further?

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This story was reported by Heather Stewart and first published by The Guardian on 25 September 2026. HUE Legacy Ventures did not write it.

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