Budget Resolution No. 6: Capital gains tax (the main rates)
401
Ayes
—
120
Noes
Passed · Government won
126 did not vote
Analysis
Commons
Commons
Parliament voted on 6 November 2024 to approve Budget Resolution No. 6, raising the main rates of capital gains tax (CGT) from 10 per cent to 18 per cent for basic-rate taxpayers, and from 20 per cent to 24 per cent for higher-rate taxpayers, on most assets. The resolution passed by 401 votes to 120, a majority of 281. This vote was one of a series of budget resolutions brought forward by the Labour government following the autumn Budget statement, giving formal parliamentary approval to the tax changes announced by Chancellor Rachel Reeves. The increase in CGT rates affects individuals and trusts who sell assets such as shares and investment property that have risen in value. In practical terms, the change raises the rate at which those gains are taxed, bringing CGT rates closer to income tax rates. The measure is intended to raise additional government revenue, contributing to the fiscal plans set out in the Budget. Those who sell qualifying assets after the change comes into effect will face a higher tax liability on any gains realised, which proponents argue makes the tax system more progressive by taxing returns on wealth at rates nearer to those applied to earnings from work. The vote divided almost entirely along party lines. All 338 Labour MPs and 37 Labour and Co-operative MPs present voted in favour, joined by the Scottish National Party's nine MPs, all four Plaid Cymru members, all four Green MPs, and one Social Democratic and Labour Party MP. Seven independents also voted aye. All 108 Conservative MPs present voted against, as did all five Reform UK MPs, three Democratic Unionist Party MPs, and four independents. There were no notable rebels on either side. The result reflects the broader political contest over the Budget, in which the government has faced sustained Conservative opposition to its package of tax rises and spending decisions, a pattern also visible in related votes on business rates and national insurance contributions in the same parliamentary period.
Voting Aye meant
Support increasing the main rates of Capital Gains Tax as proposed in the Labour Budget, raising rates on profits from selling assets such as shares and property
Voting No meant
Oppose the Capital Gains Tax rate increases, arguing they discourage investment, entrepreneurship, or economic growth
521 voting MPs. Each dot is one vote; left-to-right by party. Grey dots in the centre are the 126 who did not vote.
Aye
No
Absent
Labour PartyWhipped Aye
338
0
24
Conservative and Unionist PartyWhipped No
0
108
8
Liberal Democrats
0
0
72
Labour and Co-operative PartyWhipped Aye
37
0
5
Independent
7
4
3
Scottish National PartyWhipped Aye
9
0
—
Reform UKWhipped No
0
5
2
Sinn Féin
0
0
7
Democratic Unionist PartyWhipped No
0
3
2
Green Party of England and WalesWhipped Aye
4
0
—
Plaid CymruWhipped Aye
4
0
—
Social Democratic and Labour Party
1
0
1
Alliance Party of Northern Ireland
0
0
1
Speaker
0
0
1
Traditional Unionist Voice
0
1
—
Ulster Unionist Party
0
1
—
Your Party
1
0
—
Growth requires public investment in infrastructure, services and regions; Budget sets foundation for long-term prosperity by restoring fiscal stability; inheritance tax changes affect only ~500 farms; OBR cannot model planning reform, industrial strategy, or trade policy benefits.Labour · Voted aye · Read full speech (2,935 words) →
Budget crushes business with £25bn national insurance 'jobs tax' that reduces wages more than revenue raised; inheritance tax and capital gains changes attack family businesses; no evidence Budget will drive growth; Government lacks business experience.Conservative · Voted no · Read full speech (3,345 words) →
NHS investment welcome but social care silence unacceptable; national insurance rise harms small businesses, GPs, hospices and high streets; business rates reforms insufficient; urges exemptions for charities and social care; growth should not rely solely on infrastructure investment.Liberal Democrat · Voted no_vote_recorded · Read full speech (1,694 words) →
OBR forecasts show GDP growth will slow and turn negative in years 4-5; Budget will shrink private sector, not grow it; challenges Government's claim growth is central mission.Conservative · Voted no · Read full speech (97 words) →
Private sector, not public investment, drives growth; Budget fails to help businesses; national insurance rise nets only £16bn after lost investment, with 75% burden falling on workers' wages.Conservative · Voted no · Read full speech (1,600 words) →
Last 14 years left public services fragile; Budget offers hope with NHS funding, affordable housing, homelessness support; temporary accommodation crisis affecting children requires urgent further action.Labour · Voted aye · Read full speech (912 words) →
Labour broke election promises on taxes, borrowing and inheritance tax; Budget leans into broken economic model with more borrowing and tax-spend rather than fixing structural problems (planning, migration, capital markets); A303 transport cuts regretted.Conservative · Voted no · Read full speech (2,223 words) →
Many good things in Budget but inheritance tax threatens family farms; threshold should be raised to £4-5m to protect farmers; every farmer in Northern Ireland will be affected.DUP · Voted no · Read full speech (173 words) →
Sources
Division dataUK Parliament Votes API
DebateHansard · Commons
Stance analysisAI analysis · Claude 4.x
LicenceOpen Parliament Licence v3.0