A legal firm has been inundated with work from business owners, directors, and investors.

Ellis Jones Solicitors, headquartered in Ringwood, has seen a surge in demand ahead of potential changes to capital gains tax (CGT) in the upcoming Budget on October 30.

The firm's business services department reports that clients are hastening exit plans and selling "chargeable assets" to sidestep higher tax rates or to benefit from existing reliefs.

CGT is levied on profits from selling or transferring assets like company shares and second homes.

For directors contemplating exiting via a business sale, the current rules allow the first £1 million of gains to be taxed at 10 per cent under Business Asset Disposal Relief (BADR), formerly Entrepreneurs’ Relief.

Amounts beyond this are taxed at 18 to 24 per cent, depending on the seller's tax band.

There is speculation that the chancellor might either abolish or reduce BADR or increase CGT rates in the Budget.

Ellis Jones partner Wayne Spolander noted a significant uptick in CGT-related work post-General Election, which has intensified as the Budget nears.

This trend mirrors broader concerns, with the British Chambers of Commerce reporting that taxes have overtaken inflation as a key worry among members.

Ministers have stated they will not raise the main rate of corporation tax above 25 per cent.

Neil Cook, partner and head of business services at Ellis Jones, said: "We have been inundated with business owners desperate to see deals completed before any Budget changes kick in.

"There is a fear that plans for retirement could be wrecked because people are suddenly placed in a catastrophic tax position.

"We’ve seen before that Budget changes can be made effective immediately, without any grace period, so people are genuinely worried."

Fellow Ellis Jones Partner Wayne Spolander said: "We’ve had instructions right across the spectrum of owner-managed business with people looking to sell everything from garden centres to heating engineering firms to amusement parks.

"While we are experts in the law, we strongly recommend those in this situation speak with a tax expert or accountant for the best tax advice around CGT."