Capital Gains Tax UK: Property, Shares, Reliefs and Annual Exemptions

Capital Gains Tax Allowance 2027/28 — CGT Rates and Annual Exempt Amount

Capital Gains Tax rates and the annual exempt amount for 2027/28. CGT rates on shares, property and other assets — confirmed figures and what has changed from 2026/27.

Tax information is based on HMRC rules for the 2026/27 tax year. Tax rules can change — always verify current rates at GOV.UK. This is not tax advice. Consider consulting a qualified tax adviser for your personal situation.

The CGT annual exempt amount and rates for 2027/28 — unchanged from the previous year.

Last reviewed: May 2026. Any changes announced in the autumn 2026 Budget will be reflected here when confirmed.

CGT Rates — 2027/28

Taxpayer CGT rate (all assets)
Basic rate (income + gains ≤ £50,270) 18%
Higher rate (income + gains > £50,270) 24%
Additional rate 24%

Annual Exempt Amount — 2027/28

Amount
Individual £3,000
Trusts (most) £1,500

Historical CGT Exempt Amount

Tax year Annual exempt amount
2022/23 £12,300
2023/24 £6,000
2024/25 £3,000
2025/26 £3,000
2026/27 £3,000
2027/28 £3,000

How to Calculate Your CGT — 2027/28

  1. Gain = Sale proceeds − Acquisition cost − Allowable costs
  2. Less annual exempt amount (£3,000)
  3. Determine tax band: add taxable gain to other income
  4. Apply rate: 18% (basic rate band), 24% (above basic rate band)

For a worked example, see the Capital Gains Tax Calculator UK.

Special CGT Situations — 2027/28

Situation Rate / Notes
Business Asset Disposal Relief (BADR) 18% (from April 2026)
Investors’ Relief 18% (from April 2026); £1m lifetime limit
Gift to spouse / civil partner No CGT (no gain/no loss)
Gift to others CGT on market value
Death No CGT on death; assets rebased to probate value
Private Residence Relief (main home) Full exemption while living there

What Counts as a Chargeable Asset

CGT applies to gains from selling or disposing of most assets, including:

  • Shares and funds held outside an ISA or pension
  • Second properties and buy-to-let (your main home is usually exempt)
  • Cryptocurrency (HMRC treats crypto as an asset, not currency)
  • Business assets (though BADR may reduce the rate)
  • Valuable personal possessions worth over £6,000 (chattels rule applies)

Assets that are CGT-exempt include: your main home (with Private Residence Relief), ISA holdings, gilts (UK government bonds), NS&I Premium Bonds, and assets held in a pension.

Reducing Your CGT — 2027/28 Strategies

Use your annual exempt amount every year

The £3,000 exempt amount cannot be carried forward. If you have unrealised gains and can crystallise up to £3,000 without selling assets you wish to hold long-term, it is usually worth doing so — especially by using a bed-and-ISA (sell and rebuy inside an ISA wrapper).

Transfer assets to your spouse or civil partner

Assets transferred to a spouse or civil partner are done at no gain/no loss — they take over your cost basis. This doubles the household annual exempt amount to £6,000 and may move gains into their lower tax band.

Use capital losses

Capital losses in the current year must be set against gains in the same year. Losses carried forward from earlier years can be used to reduce taxable gains, but only to the extent that gains exceed the £3,000 annual exempt amount.

Time disposals across tax years

If you have large gains to realise, spreading disposals across two tax years (either side of 5 April) gives you two annual exempt amounts — potentially sheltering £6,000 of gain at no tax cost.

Reporting and Payment Deadlines

Asset type Deadline
UK residential property (direct disposal) 60 days from completion
All other assets Via Self Assessment (31 January after tax year end)

Sources

  1. HMRC — Capital Gains Tax rates and allowances
  2. GOV.UK — Capital Gains Tax