The Finance Bill is a government bill intended to give statutory effect to tax measures previously announced by the government, including at the 2024 autumn budget. Key measures in the bill include:

  • the replacement of the current non-domicile tax regime with a new residence-based system
  • an increase in the lower rate of capital gains tax from 10% to 18%, and the higher rate from 20% to 24%
  • a rise in the energy profits levy for oil and gas firms from 35% to 38%

The bill had its second reading in the House of Commons on 27 November 2024. It was considered in a committee of the whole House on 10 and 11 December 2024, before moving to a public bill committee where technical government amendments and a new clause were agreed. The bill completed committee stage at the end of January 2025 and its remaining stages in the House of Commons on 3 March 2025.

The bill was introduced in the House of Lords on 4 March 2025 and comprises 87 clauses and 13 schedules. The House is scheduled to debate the bill at second reading on 19 March 2025. As is usual with finance bills, the House is expected to take the bill’s remaining stages formally after the second reading debate concludes.


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