Budget Resolution No. 8: Capital gains tax (investors' relief)
400
Ayes
—
122
Noes
Passed · Government won
129 did not vote
Analysis
Commons
Commons
**Budget Resolution No. 8: Capital Gains Tax (Investors' Relief)** *House of Commons, 6 November 2024* **What happened:** The House of Commons voted on Budget Resolution No. 8, which covers changes to capital gains tax investors' relief, a tax break that reduces the rate of capital gains tax paid by certain long-term business investors when they sell their stake in a company. The resolution passed by 400 votes to 122, with the government comfortably securing the result. **Why it matters:** Capital gains tax investors' relief has allowed qualifying investors to pay a reduced rate of capital gains tax on profits from selling shares in unlisted trading companies, provided they have held those shares for a minimum period. By passing this resolution, Parliament endorsed the government's Budget proposal to reduce or remove that relief, meaning investors who sell qualifying business stakes will face a higher tax bill on their gains. The practical effect is to increase tax revenue from wealthier individuals who profit from long-term business investments, while removing an incentive that successive governments had used to encourage patient capital investment in growing businesses. **The politics:** The vote divided sharply along party lines. All 336 Labour MPs and all 37 Labour and Co-operative MPs voted in favour, joined by the SNP's nine MPs, all four Plaid Cymru members, all four Greens, and most independents voting. Against were 107 Conservatives, five Reform UK members, three Democratic Unionists, and four independents. No party crossing to vote with the other side was recorded among the major groupings. The vote is part of a wider package of tax-raising Budget measures the government has been pushing through Parliament in late 2024, including changes to national insurance contributions and business rates, all of which have followed similarly clear government majorities.
Voting Aye meant
Support the government's changes to CGT investors' relief as part of the 2024 Budget, likely including raising the rate or restricting the relief's scope
Voting No meant
Oppose the government's changes to CGT investors' relief, likely arguing the changes harm long-term investment in small and growing businesses
522 voting MPs. Each dot is one vote; left-to-right by party. Grey dots in the centre are the 129 who did not vote.
Aye
No
Absent
Labour PartyWhipped Aye
336
0
26
Conservative and Unionist PartyWhipped No
0
107
9
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