Utmost comments as HMRC’s latest Capital Gains Tax (CGT) data shows receipts of £168m for May 2026, the second month of the new 2026 / 2027 tax year, compared to the £232 million recorded in May 2025. This follows receipts of £162 million in April 2026. Inheritance Tax (IHT) receipts in May 2026, the second month of the new 2026 / 2027 tax year, totalled £730 million, compared to the £701 million recorded in May 2025. This follows receipts of £715 million in April 2026 - the first month of the new 2026 / 2027 tax year.
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Mark Jephcott, Senior Relationship Manager at Utmost commented: “Although CGT receipts for May were lower than the same month last year, revenues remain at historically elevated levels following a record year for Treasury receipts. The higher rates introduced at the Autumn Budget 2024, combined with fiscal drag, are drawing ever more individuals into the CGT net and are likely to drive a sustained increase in receipts over the coming years. “While CGT continues to generate significant revenues for the Treasury, it continues to undermine the UK's competitiveness among internationally mobile investors and entrepreneurs. Increasing numbers are looking at relocating to jurisdictions that are more welcoming to wealth creators and offer more attractive tax regimes, risking leaving the UK with a smaller overall tax base.”
Mark Jephcott commented: “Inheritance Tax continues to generate historically high tax revenues for the Treasury as frozen thresholds and rising asset values bring more families within scope of the tax. The nil-rate band has remained unchanged at £325,000 since 2009 despite property prices increasing by more than 75% over the same period. The Autumn Budget 2025 maintained this freeze until 2031, and the scope of IHT continues to widen following reforms to business property relief that came into effect on 6 April 2026 and with unused pension pots due to be brought within the scope of inheritance tax from April 2027. As a result, the number of estates expected to be caught by IHT is forecast by the OBR to almost double by 2030. While these measures are increasing tax receipts, it is making the UK a less competitive destination for entrepreneurs, investors and internationally mobile wealthy individuals, who make an outsized contribution to the tax take.”
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