Bloomsbury's Tax Rates and Tables 2025/26: Budget Edition
Author: Lucy Webb
Bloomsbury's Tax Rates and Tables 2025/26: Budget Edition
Compiled by:
Lucy Webb ACA CTA
Welcome to Tax Rates and Tables 2025/26 (Budget Edition), published by Bloomsbury Professional.
This edition of Tax Rates and Tables 2025/26 has been updated to reflect measures announced in the Autumn Budget on 30 October 2024 and changes proposed in Finance Bill 2024-25.
Finance Bill 2024-25 abolishes the remittance basis of taxation for non-domiciled individuals from 6 April 2025, replacing it with a residence based foreign income and gains regime – see Chapters 1 and 8 as to the implications for income tax and capital gains tax, respectively.
From 6 April 2025, the inheritance tax regime similarly moves from a domicile-based system to a new residence-based regime, which will affect non-UK assets and whether they are within scope of inheritance tax for individuals and trusts – see Chapter 9.
Capital gains tax rates are also amended from 30 October 2024, with the main rates increasing from 10% and 20% to 18% and 24%, respectively, bringing them in line with those of residential property gains. Rate increases for business asset disposal relief and investors’ relief are also legislated from 6 April 2025, as are changes to the way carried interest is taxed. For further details, see Chapter 8.
Another significant announcement within the Autumn Budget concerned changes to class 1 secondary (employer) national insurance contributions, with the rate of secondary class 1 NIC to increase from 13.8% to 15%, the secondary threshold to reduce to £5,000 per annum, and the employment allowance to increase to £10,500 from 6 April 2025 – see Chapter 14.
I am grateful for the help provided by Jason Croke with the VAT chapter of this edition, and deeply appreciate the assistance provided by the editorial team at Bloomsbury Professional, particularly Jane Bradford for her patience and considerable skill in bringing all the material together.
I hope that you find Tax Rates and Tables 2025/26 (Budget Edition) useful and practical.
Lucy Webb ACA CTA
December 2024