UK Tax Rates & Thresholds 2025/26

Complete reference for all UK tax rates, bands, allowances and thresholds for the current tax year

This page brings together every key UK tax rate and threshold for the 2025/26 tax year (6 April 2025 to 5 April 2026) in one place. Bookmark it as your go-to reference throughout the year.

Income Tax Rates (England, Wales & Northern Ireland)

BandTaxable IncomeRate
Personal AllowanceUp to £12,5700%
Basic Rate£12,571 – £50,27020%
Higher Rate£50,271 – £125,14040%
Additional RateOver £125,14045%

Scottish Income Tax Rates

BandTaxable IncomeRate
Personal AllowanceUp to £12,5700%
Starter Rate£12,571 – £14,87619%
Basic Rate£14,877 – £26,56120%
Intermediate Rate£26,562 – £43,66221%
Higher Rate£43,663 – £75,00042%
Advanced Rate£75,001 – £125,14045%
Top RateOver £125,14048%

National Insurance Rates

ClassThreshold / EarningsRate
Class 1 (Employee)£12,570 – £50,2708%
Class 1 (Employee)Above £50,2702%
Class 1 (Employer)Above £5,00015%
Class 2 (Self-employed)Profits above £12,570£3.45/week
Class 4 (Self-employed)£12,570 – £50,2706%
Class 4 (Self-employed)Above £50,2702%

Capital Gains Tax

Asset TypeBasic RateHigher Rate
Residential Property18%24%
Other Assets18%24%
Business Asset Disposal Relief14% (lifetime limit £1m)
Annual Exempt Amount£3,000

Inheritance Tax

Nil-Rate Band£325,000
Residence Nil-Rate Band£175,000
Combined (individual)£500,000
Combined (married couple)£1,000,000
Rate above threshold40%
Reduced rate (10%+ to charity)36%

Corporation Tax

ProfitsRate
Small Profits (up to £50,000)19%
Marginal Relief (£50,001 – £250,000)19% – 25%
Main Rate (over £250,000)25%

Dividend Tax

Dividend Allowance£500
Basic Rate8.75%
Higher Rate33.75%
Additional Rate39.35%

VAT Rates

Standard Rate20%
Reduced Rate5%
Zero Rate0%
VAT Registration Threshold£90,000

Stamp Duty Land Tax (England & Northern Ireland)

Property ValueStandard RateAdditional Property
Up to £125,0000%5%
£125,001 – £250,0002%7%
£250,001 – £925,0005%10%
£925,001 – £1,500,00010%15%
Over £1,500,00012%17%

Student Loan Repayment Thresholds

PlanAnnual ThresholdRate
Plan 1£24,9909%
Plan 2£27,2959%
Plan 4 (Scotland)£31,3959%
Plan 5 (from 2023)£25,0009%
Postgraduate Loan£21,0006%

State Pension 2025/26

New State Pension (full)£230.25/week (£11,973/year)
Basic State Pension (full)£176.45/week (£9,175/year)
State Pension Age66

Related Tax Calculators

Frequently Asked Questions

When does the 2025/26 tax year start and end?

The 2025/26 tax year runs from 6 April 2025 to 5 April 2026. This is the current tax year and all rates on this page apply to income earned during this period. Self-assessment tax returns for 2025/26 are due by 31 January 2027.

What is the personal allowance for 2025/26?

The personal allowance for 2025/26 remains at £12,570. This is the amount of income you can earn before paying any income tax. The allowance is reduced by £1 for every £2 of income above £100,000, meaning it reaches zero at £125,140.

How are Scottish income tax rates different?

Scotland sets its own income tax rates and bands for non-savings, non-dividend income. For 2025/26, Scotland has six tax bands compared to three in the rest of the UK: Starter (19%), Basic (20%), Intermediate (21%), Higher (42%), Advanced (45%), and Top (48%). This means higher earners in Scotland pay more income tax than those in England, Wales, or Northern Ireland.

Do I pay National Insurance on all my income?

No. You only pay National Insurance on earnings between the Primary Threshold (£12,570) and the Upper Earnings Limit (£50,270) at 8%, plus 2% on earnings above the Upper Earnings Limit. Income below the Primary Threshold, and non-employment income such as dividends, rental income, and savings interest, is not subject to National Insurance.