UK business groups warned the country’s new Labour government against raising a key tax on employers after Prime Minister Keir Starmer and Chancellor of the Exchequer Rachel Reeves both signaled a hike is being considered at the budget later this month.

British Prime Minister Keir Starmer said on Monday that speculation about an increase in the rate of capital gains tax to as high as 39% in this month's budget was unfounded. The current rate of capit

The prime minister has appeared to dismiss suggestions the government could raise capital gains tax (CGT) as high as 39% in this month's Budget. Sir Keir Starmer said such speculation was "wide of the mark",

Prime Minister Keir Starmer said speculation that the UK government was considering raising capital gains tax as high as 39% was “wide of the mark.”

The current rate of capital gains tax for higher-earning taxpayers in the UK ranges from 20 per cent to 28 per cent depending on the type of asset. But there have been reports that the Treasury has been modelling increasing CGT to 33 per cent or 39 per cent.