Government’s IHT and CGT receipts rise in June

The government’s inheritance tax (IHT) and capital gains tax (CGT) receipts increased in June 2026, with both taxes seeing record takes in 2025/26, according to the latest figures from HMRC.

IHT receipts increased from £730m in May to £871m in June, while 2025/26 was the fifth consecutive record year for IHT take, reaching £8.5bn.

Between April and June 2026, the government received £2.3bn in IHT, an increase of £96m compared to the same period last year.

Levels remain elevated as more estates are brought into scope of IHT through frozen thresholds, while unused pensions being brought into the IHT regime from April 2027 is set to raise levels further.

“IHT continues to generate historically high tax revenues for the Treasury as frozen thresholds and rising asset values bring more families within scope of the tax,” commented Utmost senior relationship manager, Mark Jephcott.

“The Autumn Budget 2025 extended the threshold freeze until 2031, while the scope of IHT continues to expand following reforms to Business Property Relief that came into effect on 6 April 2026 and with unused pension pots set to fall within the scope of IHT from April 2027.

"While these measures are increasing tax receipts, it is making the UK a less competitive destination for entrepreneurs, investors and internationally mobile wealthy individuals, who make an outsized contribution to the tax take.”

Meanwhile, the government’s CGT receipts also increased in June, rising to £192m.

This was up from £168m in May 2026 and from the £144m recorded in June 2025.

CGT receipts also hit a record high in 2025/26, reaching £22.2bn and far surpassing the previous record of £16.9bn in 2022/23.

“CGT receipts remain at historically elevated levels following a record year for Treasury receipts,” said Jephcott.

“The higher rates introduced at the Autumn Budget 2024, combined with fiscal drag, are drawing ever more individuals into the CGT net and are likely to drive a sustained increase in receipts over the coming years.

“While CGT generates significant revenues for the Treasury, it does little to enhance the UK's appeal to internationally mobile investors and entrepreneurs, with other jurisdictions offering more attractive tax regimes for wealth creators.”

Quilter tax and financial planning expert, Shaun Moore, noted that, with Andy Burnham taking over as Prime Minister, questions around the future direction of wealth taxation were likely to intensify.

“Burnham has previously argued for reform of wealth taxes and has expressed support for alternatives to the current inheritance tax system, although any significant changes would need to be carefully balanced against the government's wider economic priorities,” he said.

"There is already speculation about whether ministers could revisit aspects of estate, property or wealth taxation as they search for revenue.

“While such discussions are likely to continue, families should be cautious about making planning decisions based on rumours rather than policy. The reality is that major reforms often take time to develop and implement.”

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