One area of particular interest was the surprise announcement in the reduction of a rate cut in capital gains tax (CGT). With effect from 6 April 2016, the rates of CGT are to be cut to 20% (from 28%) and 10% (from 18%). However, there are exceptions, the reduced rates will not be available on disposals of carried interest and gains on residential properties. These will be subject to an 8% surcharge on the new rates.