UK to reduce the tax relief limit on business disposals

In the United Kingdom, entrepreneurs may benefit from tax relief on gains arising from the sale of their business, part of a business, or shares in a company.

From 6 April 2027, the lifetime limit on gains eligible for the relief will be halved:

🔹 current lifetime limit — up to £1 million;

🔹 new lifetime limit — up to £500,000;

🔹 gains qualifying for the relief will be taxed at 18%.