UK Capital Gains Tax Rates & Allowances
The capital gains tax you pay on shares depends mainly on two things: the annual exempt amount (the gain you can make tax-free each year) and the CGT rate for your income tax band. There's also a separate reporting threshold that can require you to tell HMRC about large disposals even when no tax is due. All three are shown for 2026/27 below, with the recent history.
Rates & allowance for 2026/27
You only pay CGT on gains above the annual exempt amount. Gains within it are tax-free and, in most cases, do not even need reporting. Work out your own gain in the calculator.
CGT rates & allowances by tax year
| Tax year | Annual Exempt Amount | Reporting threshold | Basic rate | Higher rate |
|---|---|---|---|---|
| 2026/27current | £3,000 | £50,000 | 18% | 24% |
| 2025/26 | £3,000 | £50,000 | 18% | 24% |
| 2024/25 | £3,000 | £50,000 | before 30/10/2410% from 30/10/2418% | before 30/10/2420% from 30/10/2424% |
| 2023/24 | £6,000 | £50,000 | 10% | 20% |
| 2022/23 | £12,300 | £49,200 | 10% | 20% |
| 2021/22 | £12,300 | £49,200 | 10% | 20% |
| 2020/21 | £12,300 | £49,200 | 10% | 20% |
| 2019/20 | £12,000 | £48,000 | 10% | 20% |
| 2018/19 | £11,700 | £46,800 | 10% | 20% |
| 2017/18 | £11,300 | £45,200 | 10% | 20% |
| 2016/17 | £11,100 | £44,400 | 10% | 20% |
| 2015/16 | £11,100 | £44,400 | 18% | 28% |
| 2014/15 | £11,000 | £44,000 | 18% | 28% |
| 2013/14 | £10,900 | £43,600 | 18% | 28% |
| 2012/13 | £10,600 | £42,400 | 18% | 28% |
| 2011/12 | £10,600 | £42,400 | 18% | 28% |
| 2010/11 | £10,100 | £40,400 | 18% | before 23/06/1018% from 23/06/1028% |
| 2009/10 | £10,100 | £40,400 | 18% | 18% |
| 2008/09 | £9,600 | £38,400 | 18% | 18% |
Where a rate changed mid-year (2010/11 and 2024/25), the cell shows both rates with the date each applied from. All figures are read directly from the same calculation engine the calculator uses, so they always match the tool.
When rates change mid-year
Most tax years have a single CGT rate, but occasionally rates change partway through a year. The most recent is 2024/25: for disposals up to and including 29 October 2024 the rates were 10% (basic) and 20% (higher/additional), and for disposals on or after 30 October 2024 they rose to 18% and 24% — the same rates that apply now. The same thing happened back in 2010/11, when the higher rate jumped from 18% to 28% on 23 June 2010 mid-way through the year.
A mid-year split matters for accuracy. HMRC lets you set your annual exempt amount and any losses against gains in the way most beneficial to you — in practice, against the higher-rate period first (HMRC manual CG21520). Many calculators instead apply the allowance proportionally across the year and overstate the tax due. This calculator follows HMRC's rule, so a year with gains on both sides of the change date — whether 2010/11 or 2024/25 — is handled correctly.
The reporting threshold
Reporting and paying are separate from owing tax. You must report your disposals to HMRC (through Self Assessment or the real-time “report and pay” service) if either of these is true for the tax year:
- your total taxable gain is above the annual exempt amount (£3,000 for 2026/27); or
- your total disposal proceeds (the sale value, not the gain) exceed the reporting threshold of £50,000 for 2026/27, even if there is no tax to pay.
The second test catches people who sell a large amount but make little or no gain — for example selling £50,000+ of shares at roughly what they paid. The calculator flags both tests for you and tells you whether a year needs reporting.
The shrinking annual exempt amount
The tax-free allowance has fallen sharply: from £12,300.00 in 2022/23, to £6,000.00 in 2023/24, to just £3,000.00 from 2024/25 onwards. That means far more people now have a CGT bill — and more need to report disposals — than a few years ago, even on modest share sales. The chart below shows the annual exempt amount for every supported tax year, from 2008/09 onwards.
Use it or lose it
The annual exempt amount cannot be carried forward — any part you do not use in a tax year is gone for good. With the allowance now just £3,000.00, planning disposals across tax years (and between spouses or civil partners) to use each year's allowance is more valuable than ever.
Plan your disposals in the calculatorNext: getting started with Capital Gains Tax, the Section 104 pool, or just open the calculator. See also the FAQ.
Sources
The rules and figures in this guide come from HMRC and GOV.UK. This site is independent and not affiliated with HMRC.
- GOV.UK — Capital Gains Tax rates — Current CGT rates for individuals.
- GOV.UK — Capital Gains Tax allowances — The tax-free annual exempt amount (£3,000 for individuals).
- GOV.UK — Capital Gains Tax rates and allowances (guidance) — Historical rates by period, including the rise to 18%/24% from 30 October 2024.
- GOV.UK — Work out if you need to pay Capital Gains Tax — When you must report: gains above the allowance, or total proceeds over £50,000 (from 2023/24).