The government collected £16.985bn in Capital Gains Tax (CGT - the tax you pay on profit when you sell an asset like property) in January 2026. That is a 69% increase from the £10.033bn collected in January 2025 (PropertyWire, 23 March 2026).

Why the Surge Happened

January is when self-assessment bills for the previous tax year land. The January 2026 figure covers the 2024/25 tax year.

Jason Hollands, managing director at wealth management firm Evelyn Partners, said "January's figure includes the payment of self-assessment bills for the 2024/25 tax year" and suggested investors may have rushed to sell assets ahead of CGT rate increases announced in October 2024 (PropertyWire, 23 March 2026).

The annual exempt amount (the portion of your gain you can keep tax-free) dropped to £3,000 in April 2024 (PropertyWire, 23 March 2026). Previous years had significantly higher thresholds. Evelyn Partners noted this reduced exemption "provided minimal tax protection, amplifying revenues" from those advance sales (PropertyWire, 23 March 2026).

What This Means in Real Numbers

Here is a worked example to show why this matters. Say you sold a buy-to-let property in the 2024/25 tax year and made a £50,000 gain. With the current £3,000 annual exempt amount, your taxable gain is £47,000.

For a higher-rate taxpayer, CGT on residential property gains is currently 24% (check with your accountant for your specific rate). At that rate, your liability on the £47,000 gain would be £11,280. Under the previous, higher exemption thresholds, the same gain would have produced a significantly smaller bill.

These figures apply to England and Wales. Scotland and Northern Ireland have their own variations on certain tax rules, so speak to your accountant about your specific position.

The Bigger Picture for Property Investors

The CGT numbers sit alongside rising inheritance tax (IHT) receipts. HMRC collected £7.7bn in IHT between April 2025 and February 2026, up from £7.6bn in the same period the prior year (PropertyWire, 23 March 2026).

Ian Dyall, also of Evelyn Partners, attributed rising IHT revenues to "fiscal drag," explaining that "nil rate bands have been frozen for many years while asset values, particularly property, have continued to inflate" (PropertyWire, 23 March 2026). More estates are crossing the IHT threshold without realising it.

For property investors holding multiple assets, the message is clear. The combination of frozen thresholds, reduced exemptions, and rising property values means your tax exposure is growing even if nothing in your portfolio changes. You may wish to review your disposal timing and structure with your accountant before the new tax year starts in April 2026.