It was another bumper tally for HMRC between April and August, collecting £391.6bn in total tax and National Insurance contributions (NICs).
This figure was £24.9 billion higher than what was raised in the same period last year.
Capital gains tax (CGT) receipts were £198 million, compared to £190 million in August 2025, while inheritance tax (IHT) receipts rose by £0.1 billion on the previous year to £3.8 billion.
PAYE income tax receipts and NIC receipts for April-August 2026 were £214bn, £16.9bn more than the same period last year.
In response to these figures, Sarah Coles, head of personal finance at AG Bell, said: “The tax collector has helped himself take a huge chunk of our income, savings and investments, cutting off a multi-million pound slice of estates after people have died.”
She added: “Freezing tax thresholds, investment tax increases and allowance cuts mean we are on track for another record tax year. However, CGT has bucked this trend, proving that raising your tax rate doesn’t always mean a bumper cash grab.”
She stressed that while August is typically a slow month for CGT receipts, it is a busy month for tax speculation: “We paid £198 million in August, up from £190 million in August 2025. However, since April, the Treasury has received less CGT than the previous year.”
Coles believes this is “useful evidence that when it comes to CGT, tightening the screw does not necessarily lead to more tax, because people will change their behavior to avoid a hefty tax bill.”
“We could still see an increase at the start of 2027, as CGT revenues always rise in the new year, but tax collections have lagged so far.
“It appears that significant reductions in the annual exemption amount and increases in stock and equity prices have not significantly supported Treasury coffers,” she added.
Acknowledging rumors that the government may still be considering equalizing CGT with income tax rates in the next Budget, Coles warned that anyone pushing for such a move might want to keep these latest figures in mind.
Rachel Griffin, a tax and financial planning expert at Quilter, agreed that these figures provide an important reality check against the CGT rumors circulating in Westminster.
“On paper, such a move could significantly increase the amount of tax payable on investment gains and potentially provide a significant boost to Treasury revenues. However, CGT is one of the most behaviorally sensitive taxes in the system.
“Monthly revenues can be very volatile, and investors often have little control over when gains are realized,” she said. “Faced with higher interest rates, some may accelerate disposals before any changes, while others may hold assets longer.”
Turning to IHT, Amit Joshi, managing director of wealth at Mattioli Woods, asserted that “property appreciation and inflation are quietly turning what was once a tax on the wealthy into a bill for ordinary households.”
“What is most worrying is not the tax itself, but the lack of awareness. Households often do not realize its impact until it is too late to act. Properties that paid nothing a decade ago are now automatically liable,” he warned.
He believes that IHT has become a planning problem due to stealth, and the cost of inaction is measured in missed choices, hasty decisions and unnecessary taxes.
“Regularly reviewing wills and estate plans, and seeking professional financial advice, is no longer optional. It is essential to protect family outcomes, maintain control and ensure hard-earned wealth goes where it was intended, not where it arrives,” Joshi said.
