Prime Minister Andy Burnham is facing calls from a former Labour leader to raise capital gains tax (CGT) in an effort to generate more money for the Treasury. He said: "Treasury officials told me that 24 per cent was the 'revenue maximising' level for capital gains tax." Mr Hunt explained the reasoning behind that assessment: "That's because when tax rates change, people change their behaviour and delay selling assets. Do you pay capital gains tax? Joshua Raymond, UK managing director at investment platform XTB, said: "Capital gains tax has historically been lower than income tax because investing involves the possibility of losing money.