UK Act of Parliament 2025 United Kingdom

Finance Act 2025

View on legislation.gov.uk Ask Guv about this Act

At a glance

Enforced by

HMRC, OPSS, VCA

What's here

7 compliance obligations, 3 practical guides across 2 topics · 1 journey

Penalty landscape

1 of 7 obligations carry up to 2 years imprisonment. 6 have no criminal penalty — flagged in the list below.

Who this Act binds

Business-side actors with duties under this Act, ranked by how often they appear.

Any Person 4
Trader 1

Plus 2 non-business duties on Crown ministers, regulators, local authorities or tribunals — shown collapsed under each section below.

Step-by-step journeys using this legislation

Walkthroughs that take you from a real business situation to compliance.

Running a holiday let

1 step

Relevant guidance

Practical guides for businesses affected by this Act, ordered by how closely they engage with it.

Supporting — topic alignment

2 guides

FHL tax regime abolition - what's changed

Holiday let tax obligations and business rates

Mentioned in related content

1 guides

Understanding employee share schemes

Other Acts binding the same actors

For each actor bound by this Act, the other UK Acts that bind them most often. Useful for understanding the full compliance landscape facing each role.

Any Person also bound by 749 other Acts (top 5 shown)

Human Medicines Regulations 2012 2012 110 duties
Licensing Act 2003 2003 105 duties
Merchant Shipping Act 1995 1995 97 duties
Road Traffic Act 1988 1988 95 duties
Air Navigation Order 2016 2016 86 duties

Traders also bound by 219 other Acts (top 5 shown)

Value Added Tax Regulations 1995 1995 952 duties
TULRCA 1992 1992 39 duties
Companies Act 2006 2006 39 duties
Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 2013 39 duties
The Customs (Import Duty) (EU Exit) Regulations 2018 2018 33 duties

What this Act requires

Sections that create concrete duties on businesses or carry penalties. Procedural and definitional sections are folded into the “Browse other sections” expander at the bottom of each group. Click any section title to read the source text on legislation.gov.uk.

Part 1 — Income tax, capital gains tax and corporate taxes

s.004

Freezing starting rate limit for savings for tax year 2025-26

2 years imprisonment

Fail to comply with or hinder a direction under section 2 Any Person

Browse 35 other sections in this Part — procedural / definitional / commencement

s.001

Income tax charge for tax year 2025-26

s.002

Main rates of income tax for tax year 2025-26

s.003

Default and savings rates of income tax for tax year 2025-26

s.005

Appropriate percentage for cars: tax year 2028-29

s.006

Appropriate percentage for cars: subsequent tax years

s.007

Main rates of CGT for gains other than carried interest gains

s.008

Business asset disposal relief: increase in rate

s.009

Investors’ relief: increase in rate

s.010

Investors’ relief: reduction in amount qualifying for relief

s.011

Sections 7 to 10 : transitional provision

s.012

Rate of CGT for carried interest gains

s.013

Charge and main rate for financial year 2026

s.014

Standard small profits rate and fraction for financial year 2026

s.015

Increase in rate of energy (oil and gas) profits levy

s.016

Relief from levy for investment expenditure

s.017

Extending the period for which levy has effect

s.018

Decommissioning of carbon storage installations

s.019

Pillar Two

s.020

Offshore receipts in respect of intangible property

s.021

Application of PAYE in relation to internationally mobile employees etc.

s.022

Advance pricing agreements: indirect participation in financing cases

s.023

Expenditure on zero-emission cars

s.024

Expenditure on plant or machinery for electric vehicle charging point

s.025

Commercial letting of furnished holiday accommodation

s.026

Films and television programmes: increased relief for visual effects

s.027

Certification of films etc: minor amendments

s.028

Films etc: unpaid amounts

s.029

Research and development relief: Northern Ireland companies

s.030

Research and development intensity condition: transitional provision

s.031

Employee-ownership trusts

s.032

Overseas transfer charge: pension schemes in EEA state or Gibraltar

s.033

Overseas pension schemes established in EEA states

s.034

Pension scheme administrators required to be resident in United Kingdom

s.035

Alternative finance: diminishing shared ownership refinancing arrangements

s.036

Statutory neonatal care pay

Part 2 — Replacement of special rules relating to domicile

Browse 10 other sections in this Part — procedural / definitional / commencement

s.037

Claim for relief on foreign income

s.038

Claim for relief on foreign employment income

s.039

Claim for relief on foreign gains

s.040

Remittance basis not available after tax year 2024-25

s.041

Temporary repatriation facility

s.042

Rebasing of assets

s.043

Trusts: connected amendments, transitional provision etc

s.044

Excluded property: domicile test replaced with long-term residence test

s.045

Corresponding change for settled property

s.046

Consequential, connected and transitional provision

Part 3 — Other taxes

s.065

Rates of tobacco products duty

Pay the correct rates of tobacco products duty Trader

s.068

Rates of vehicle excise duty for rigid goods vehicles with trailers

Pay the correct Vehicle Excise Duty for rigid goods vehicles with trailers Any Person

s.069

Vehicle excise duty for vehicles with exceptional loads etc

Pay increased vehicle excise duty for heavy or exceptional loads Any Person

s.070

Rate of vehicle excise duty for haulage vehicles other than showman’s vehicles

Pay increased vehicle excise duty for haulage vehicles Any Person

Browse 29 other sections in this Part — procedural / definitional / commencement

s.047

Removal of exemption for private school fees

s.048

Charge on pre-paid private school fees

s.049

Sections 47 and 48 : commencement

s.050

Increased rates for additional dwellings: transactions before 1 April 2025

s.051

Increased rates for additional dwellings: transactions on or after 1 April 2025

s.052

Contracts substantially performed before relevant rate change

s.053

Purchases by companies etc

s.054

Alternative finance: land in England, Scotland or Northern Ireland

s.055

Alternative finance: land in Wales

s.056

Testing of FMI technologies or practices

s.057

Rate bands etc for tax years 2028-29 and 2029-30

s.058

EBTs: prohibition on applying property for benefit of participators etc

s.059

EBTs: restriction on proportion of beneficiaries who may be participators etc

s.060

EBTs: shares entering trust to have been held for two years

s.061

Agricultural property relief: environmental management agreements

s.062

National Savings Bank: statements from HMRC no longer to be required

s.063

Rates of alcohol duty

s.064

Abolition of duty stamps for alcoholic products

s.066

Rates of vehicle excise duty for light passenger or light goods vehicles etc

s.067

Rates of vehicle excise duty for rigid goods vehicles without trailers etc

s.071

Vehicle excise duty: zero-emission vehicles

s.072

Rates of HGV road user levy

s.073

Rates of air passenger duty until 1 April 2026

s.074

Rates of air passenger duty from 1 April 2026

s.075

Rates of climate change levy

s.076

Rates of landfill tax

s.077

Rate of aggregates levy

s.078

Rate of plastic packaging tax

s.079

Rates of soft drinks industry levy

Part 4 — Miscellaneous and final

s.083

Duty on vaping products

Other duties (1) — Crown / regulator

HMRC may prepare for a new vaping products duty Statutory regulator

s.084

Carbon border adjustment mechanism

Other duties (1) — Crown / regulator

HMRC may prepare for a new Carbon Border Adjustment Mechanism (CBAM) tax Statutory regulator

Browse 6 other sections in this Part — procedural / definitional / commencement

s.080

Limited liability partnerships

s.081

Loans to participators

s.082

OECD crypto-asset reporting framework

s.085

Correction of wrong cross-reference etc

s.086

Interpretation

s.087

Short title

Schedules

Browse 13 other Schedules — structural / supplementary

s.sch001

Consequential provision in connection with section 7

s.sch002

Sections 7 to 10 : transitional provision

s.sch003

Payments into decommissioning funds

s.sch004

Pillar two

s.sch005

Furnished holiday lettings

s.sch006

Employee-ownership trusts

s.sch007

Diminishing shared ownership refinancing arrangements

s.sch008

Relief on foreign employment income: consequential and transitional provision

s.sch009

Income tax and capital gains tax: remittance basis and domicile

s.sch010

Temporary repatriation facility

s.sch011

Rebasing of assets

s.sch012

Trusts: connected amendments, transitional provision etc

s.sch013

Inheritance tax

Read the full Act on legislation.gov.uk

Enforcement and responsible bodies

The regulators that administer or enforce this legislation.

HMRC

Primary

HM Revenue & Customs

Tax collection, customs duties, national insurance, tax credits, and enforcement of the National Minimum Wage. Regulates all UK businesses for tax compliance …

OPSS

Office for Product Safety and Standards

Product safety regulator responsible for ensuring consumer products are safe. Enforces product safety regulations, UKCA marking requirements, and works with market surveillance …

VCA

Vehicle Certification Agency

Type approval authority for new vehicles, components, and systems. Certifies that vehicles meet safety and environmental standards. Issues UK type approvals replacing …