Are Capital Gains taxed at higher rate than Dividend Income in UK?

I'm doing a paper on Marginal tax inference for the period 2005 - 2006 in UK. I ended up discovering that for earnings below �8500, capital gains are tax shielded. For earnings between �8500 - �32,500, one would prefer dividend payments as they are charged at 10% whereas capital gains are charged at 20%. The high earning individuals would also prefer dividends as they are taxed at 32.5% in contrast to 40% taxed capital gains. I always thought capital gains were more tax friendly than dividend earnings.