What The Latest UK Budget Means For Crypto Tax and DeFi Access
The UK Budget kept crypto tax rules stable but increased pressure via frozen thresholds, while HMRC signaled a shift toward "no gain, no loss" for DeFi activities.Summary
The latest UK Budget introduced no new crypto-specific taxes, but existing measures like frozen income-tax thresholds and a low Capital Gains Tax (CGT) allowance mean effective tax pressure rises for active traders.
Crucially, HMRC published a consultation outcome on DeFi taxation, backing away from its hard-line 2022 guidance following stakeholder criticism. Instead of treating every DeFi move as a disposal, HMRC prefers a potential "no gain, no loss" (NGNL) framework for many DeFi flows, including single-token lending, crypto borrowing, and automated market makers (AMMs).
Under the proposed NGNL approach, tax events would be deferred until final disposal or realized differences in token amounts upon exiting an AMM pool. Furthermore, HMRC is not actively pursuing an "all revenue" deeming rule for DeFi rewards for now. While spot traders see no structural change, increased data sharing from exchanges starting in 2026 will enhance HMRC's oversight.
(Source：BeInCrypto)