CGT on Fund of UK Gilts

I know there is no capital gains tax on UK gilts held directly by an individual. But is there any CGT (or can you use a loss) on the sale of a holding in a Fund which owns only UK Gilts?

Hi,
Gilts are a special case as, unlike most normal bonds, any value gain you make on them is not subject to capital gains tax, and does not count towards your CGT allowance
(£3,000 in the 2024/25 tax year).
This is true whether your capital gain is from holding gilt (s) to maturity, or selling it for more than you paid for them.
Thank you.

Hello, yes as I said in my original question, I do already know that gilts held directly by an individual are exempt from CGT. My question was whether, if you hold units in a Fund which invests in UK gilts, is that exempt from CGT? The Fund's investments change from time to time and may include foreign government bonds and it may also invest in other transferable securities, units in collective investment schemes (including exchange traded funds and schemes managed and operated by the ACD or its associates), money market instruments, warrants, cash, near cash and deposits, Is a gain made on sale of units held in this type of fund chargeable to CGT? Thank you

Hi,
We can only provide general information / guidance in this forum.  
For an answer to a detailed question of this nature, you would need to contact our self assesment helpline on 0300 200 3310, contact our webchat facility at:
Contact HMRC or seek professional advice
Thank you.

Good morning Thanks for your reply. This is a general question - is a Fund that owns UK gilts exempt from CGT or not? Thank you

Hi,
Gilt edged securities or gilts are UK Government loan stock. Since 2 July 1986 all disposals of gilt edged securities have been exempt from Capital Gains Tax. /S115 (1)(a). You can see guidance here:
HS343 Accrued Income Scheme (2024)
Thank you.