Healey Rejects Capital Gains Tax Hike Ahead of Budget
Chancellor dismisses calls for increased CGT, prioritising wealth creation amidst public expectation of tax rises.
Sarah Connor
Chancellor of the Exchequer John Healey has dismissed calls to increase Capital Gains Tax in his upcoming Budget.
The tax applies to profits from selling assets like houses or shares. This decision comes despite pre-Budget polling by Ipsos revealing 65 percent of the public expected some form of tax rise.
Healey has consistently indicated his desire for the UK to be a country of wealth creation, a stance aligning with his current position on CGT, a tax on the profit made from selling off assets such as a house or shares.
raising capital gains tax would send very much the wrong message to business.
An increase in the rate banks pay on their profits is expected to be the biggest revenue-raising measure in the Budget. This measure aims to fund cost-of-living support for households and businesses.
The Chancellor acknowledged Britain faces a "tough" position ahead of the Budget. Yet he downplays the prospect of major revenue-raising measures in his October 28 statement.
The Government confirmed a move to end "double provision," a loophole allowing offenders to claim hundreds of pounds a month for living costs while receiving NHS psychiatric treatment.
Proposals set for Parliament on Tuesday would close this loophole. This prevents serious criminals from receiving up to £800 a month in universal credit over several years.
live within our means.
Conservative leader Kemi Badenoch will warn the Government to slash its spending plans and reduce its borrowing at the Budget. Badenoch urged the government to "live within our means."
Increasing Capital Gains Tax could cost the government money if wealthy people leave the country or defer selling assets. Healey claims that raising capital gains tax could hamper economic growth.