Britain's art collectors are preparing to move their treasures abroad if the autumn budget brings a rise in capital gains tax, leading dealers warned this week. With speculation mounting that Chancellor John Healey could announce a CGT increase on 28 October, Philip Hoffman, chief executive of the Fine Art Group — which has handled more than $1.4 billion in art and jewellery deals — said there was 'a rush among collectors to move their art out of London.' 'A huge number of art collectors in the UK have already got their fingers poised to move on October 29 if the wrong conclusion comes out of the budget,' Hoffman told The Times. The former Christie's executive, who launched eight art investment funds, said collectors specifically feared receiving a 'nasty capital gains tax bill,' and described a market that was already 'much smaller than it used to be and diminished.' The maths explains the anxiety. Rachel Reeves raised CGT rates two years ago, taking the higher rate to 24 percent; if Healey aligns the tax with income tax, higher- and additional-rate taxpayers could face charges of 40 or 45 percent on asset sales. As one account put it, for anyone with significant wealth 'the difference between this week and in five weeks' time could be an enormous cost to their family.' Hoffman added that UK tax advisers are 'absolutely swamped' with clients trying to settle their affairs before budget day — at the last budget, CGT rates rose on the day itself, with no grace period. Old Master dealer Johnny van Haeften, who has sold more than 5,000 paintings, warned of 'a drain on great works of art' owned by British collectors if the high-profile figures take their collections with them. The exodus would compound a longer drift: non-dom tax changes have already pushed wealthy collectors towards more lenient regimes such as the UAE and Italy. For the London art market, the budget is not just a fiscal event — it is a test of whether the capital can keep the masterpieces it has spent centuries accumulating.