The government has announced that the dividend allowance will be reduced from 6 April 2023 and further reduced from 6 April 2024. The following is an extract from the HM Treasury document CP751, entitled Autumn Statement 2022 (para. 5.21), with paragraph spacing added for greater clarity:
“The government will reduce the Dividend Allowance from £2,000 to £1,000 from April 2023, and to £500 from April 2024, and reduce the Capital Gains Tax Annual Exempt Amount from £12,300 to £6,000 from April 2023 and to £3,000 from April 2024.
These measures will raise over £1.2 billion a year, from April 2025.
The government will legislate for these measures in Autumn Finance Bill 2022.”