One reference page covering every UK personal tax rate, threshold and allowance for the tax year that began 6 April 2026 and ends 5 April 2027. Income tax, National Insurance, dividends, savings interest, capital gains, ISA and pension allowances, inheritance tax, stamp duty — all under one roof, with worked examples and the calculator that uses each one.
The UK tax system is administered as a single-year affair: every rate, threshold, allowance and band runs from 6 April through 5 April. This page collects every figure that affects a typical UK taxpayer for 2026/27 in one place, with the official source linked beside each section and the relevant calculator on this site for working numbers. Where Scotland or Wales apply different rates, those are flagged inline. Northern Ireland follows the rest-of-UK rates.
For 2026/27 the Personal Allowance, the higher-rate threshold and most National Insurance thresholds remain at 2025/26 levels — this is the continuation of the freeze announced in 2021. The freeze itself is the source of the "fiscal drag" effect that has pulled millions more taxpayers into higher bands as wages have risen with inflation.
| Band | Taxable income | Rate |
|---|---|---|
| Personal Allowance | Up to £12,570 | 0% |
| Basic rate | £12,571 – £50,270 | 20% |
| Higher rate | £50,271 – £125,140 | 40% |
| Additional rate | Above £125,140 | 45% |
The Personal Allowance taper: reduces the £12,570 allowance by £1 for every £2 of adjusted net income above £100,000. Fully gone at £125,140. This is the mechanic behind the 60% tax trap.
Marriage Allowance: £1,260 transferable from a non-taxpaying spouse to a basic-rate-paying spouse, worth up to £252 of tax saving. See the checker.
Use the tax calculator to see how these bands hit your specific salary, including the taper.
Scotland sets its own income tax bands on non-savings, non-dividend income. Savings interest and dividends are still taxed at rest-of-UK rates everywhere. For 2026/27:
| Band | Taxable income | Rate |
|---|---|---|
| Personal Allowance | Up to £12,570 | 0% |
| Starter rate | £12,571 – £16,537 | 19% |
| Scottish basic rate | £16,538 – £29,526 | 20% |
| Scottish intermediate rate | £29,527 – £43,662 | 21% |
| Scottish higher rate | £43,663 – £75,000 | 42% |
| Scottish advanced rate | £75,001 – £125,140 | 45% |
| Scottish top rate | Above £125,140 | 48% |
Scottish rates feed through PAYE based on the "S" prefix on the tax code (e.g. S1257L). The Personal Allowance taper applies at the same £100k threshold and the Scottish 60%/62% trap is actually a 65%/67% trap because of the higher Scottish higher-rate income tax rate.
| Band | Annual earnings | Rate |
|---|---|---|
| Below Primary Threshold | Up to £12,570 | 0% |
| Main rate | £12,571 – £50,270 | 8% |
| Above Upper Earnings Limit | Above £50,270 | 2% |
Employer NI for 2026/27: 15% above the secondary threshold of £5,000. Salary sacrifice schemes typically pass some or all of this employer-NI saving back to the employee as additional pension contribution.
| Band | Dividend income | Rate |
|---|---|---|
| Dividend Allowance | First £500 | 0% |
| Basic rate | Within basic-rate band | 10.75% |
| Higher rate | Within higher-rate band | 35.75% |
| Additional rate | Within additional-rate band | 39.35% |
Dividends are added on top of other taxable income for the purposes of band identification. A higher-rate taxpayer has a Dividend Allowance of £500; above that, the marginal rate jumps from 0% to 35.75%. The dividend calculator handles the band stacking for limited-company directors.
Interest from regular bank/building society accounts (not ISAs) is taxed at marginal income tax rates, but with two big shields:
ISA interest is outside both of the above and is tax-free without limit. See the savings interest tax calculator.
| Asset type / band | Rate |
|---|---|
| Annual exempt amount (AEA) | £3,000 |
| Basic-rate band — non-residential assets | 18% |
| Higher / additional rate — non-residential assets | 24% |
| Basic-rate band — UK residential property | 18% |
| Higher / additional rate — UK residential property | 24% |
| Carried interest | 28% (32% from April 2026 budgets) |
| Business Asset Disposal Relief (lifetime £1m) | 14% (rising to 18% in 2026/27) |
The CGT rate for residential property and non-residential assets unified at the start of the 2024/25 tax year. The Annual Exempt Amount has been £3,000 since 2024/25 — a deep cut from the £12,300 it was three years earlier. See the property CGT calculator and the shares CGT calculator.
| ISA type | Annual allowance 2026/27 |
|---|---|
| Adult ISA total (across Cash, S&S, Innovative Finance, Lifetime) | £20,000 |
| Lifetime ISA (within the £20,000) | £4,000 |
| Junior ISA | £9,000 |
The £20,000 adult ISA limit has been frozen since 2017/18. The Junior ISA limit at £9,000 has been frozen since 2020/21. See the LISA calculator and JISA tip.
| Threshold / element | 2026/27 |
|---|---|
| Nil-rate band (NRB) | £325,000 |
| Residence nil-rate band (RNRB) | £175,000 |
| RNRB taper threshold | Estate over £2,000,000 |
| Standard rate | 40% on excess |
| Reduced rate (10%+ to charity) | 36% on excess |
Both the NRB and RNRB are frozen until April 2030. A married couple can combine their bands for a maximum tax-free estate of £1,000,000, provided the home is left to direct descendants and the estate is below the £2m taper threshold. See the inheritance tax calculator.
SDLT bands changed materially in April 2025 when the temporary thresholds expired. For 2026/27:
| Property price band | SDLT rate |
|---|---|
| Up to £125,000 | 0% |
| £125,001 – £250,000 | 2% |
| £250,001 – £925,000 | 5% |
| £925,001 – £1,500,000 | 10% |
| Above £1,500,000 | 12% |
First-time buyers pay 0% up to £300,000 and 5% on £300,001–£500,000, with no relief above £500,000. Second / additional homes pay an extra 5 percentage points on top of the standard rates from October 2024 onward. Non-UK residents add a further 2 percentage point surcharge on top of all rates. Scotland uses the LBTT system and Wales uses LTT — both with different bands. See the stamp duty calculator.
The £100k ANI cap creates the brutal childcare cliff covered in detail in the 60% tax trap guide.
Full new State Pension requires 35 qualifying years of National Insurance contributions; less than 10 qualifying years means no State Pension at all. See the forecast calculator.
This page is the canonical reference for UK personal tax rates on this site. Every calculator we host uses these figures internally; the figures are reviewed against gov.uk after every Budget and Spring Statement. Where you see a number on a calculator that differs from the table above, that's a bug — please email us.
Bookmark this page for next April when you're rebuilding your tax position from scratch — it'll be updated within a week of the new tax year for 2027/28 figures, with a clear changelog showing what changed.
For the in-depth view on specific traps and reliefs, see the 60% tax trap guide, fiscal drag explained, and the full tip library. For working numbers, the tax calculator, ANI calculator and tax health check are the most-used tools.
Four scenarios showing how the 2026/27 tax bands stack up across typical UK incomes.
Situation: PAYE £30,000, no other income, standard tax code 1257L.
Question: What's the tax breakdown?
What to do: £12,570 covered by Personal Allowance (£0 tax). £17,430 taxed at basic-rate 20% = £3,486 income tax. NI (employee): £30k - £12,570 = £17,430 × 8% = £1,394. Total deductions: £4,880. Take-home: £25,120 = ~£2,093/month. Marginal rate on the next £1: 28% (20% IT + 8% NI).
Situation: Salary £60,000, no salary sacrifice yet, employer auto-enrolment 4%.
Question: Where does the tax sit and is salary sacrifice worth it?
What to do: Income tax: £7,540 basic + £3,892 higher = £11,432. NI: £3,182. Take-home: £45,386. Marginal rate on next £1: 42% (40% IT + 2% NI). Salary-sacrificing £5k into pension saves ~£2,000 (40% tax + ~10% NI) and adds full £5k to pension — effective net cost just £3,000 for £5k of retirement saving.
Situation: Salary £120,000, in 60% effective marginal band between £100k-£125,140.
Question: How does the Personal Allowance taper hit?
What to do: PA reduces by £1 for every £2 over £100k. At £120k, allowance lost = £10,000, leaving £2,570 of PA. Income tax: £40,432. Effective marginal rate on £100k-£125,140: 60% (40% IT + lost 40% on £0.50 allowance per £1 income). NI 2% adds to 62%. Sacrificing £20k into pension brings ANI to £100k, restoring full PA — net £20k cost only £6,400.
Situation: Banker bonus pushes total £200,000 income.
Question: Where does the additional-rate kick in?
What to do: 45% additional rate applies above £125,140. Income tax: £67,360. NI: £4,876 (8% to £50,270, 2% above). Take-home: £127,764. Tapered Annual Allowance reduces pension allowance to ~£40,000 (adjusted income > £260k threshold not reached). Salary sacrifice still highly effective — 45% relief on contributions plus NI savings.
Scenarios use 2026/27 UK tax-year rates. Personas are illustrative — verify your own situation against current HMRC guidance.
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