‘We are all in this together’ was an oft-repeated assertion before and after the 2010 General Election. The need to reduce the UK’s huge fiscal deficit led to tax and spending measures which will affect almost everyone over the next few years. For private clients, the tax measures included a new top rate of income tax, an increase in the rate of capital gains tax, more changes to the pensions tax relief rules, a further strong clampdown on tax evasion, and a commitment to simplify and improve the tax system. Looking ahead, there may be progress towards the introduction of a long-awaited statutory residence test in 2011.