🇬🇧 United Kingdom / Tax Rates

UK Tax Rates & Limits 2026

Official rates sourced from HMRC, Income Tax rates and Personal Allowances 2024/25.

Last updated: 2026-06-27

Current Rates

Parameter	Value
Personal Allowance	12,570
Basic Rate Percent	20
Basic Rate Band Max	50,270
Higher Rate Percent	40
Higher Rate Band Max	125,140
Additional Rate Percent	45
Ni Employee Primary Rate	8
Ni Employee Upper Rate	2
Ni Employer Rate	13.8
Ni Primary Threshold	12,570
Ni Upper Earnings Limit	50,270
Capital Gains Basic Rate	10
Capital Gains Higher Rate	20
Capital Gains Annual Exempt Amount	3,000

Parameter	Value
Pa Taper Threshold	100,000
Pa Taper Rate	2
Effective 60 Percent Band Min	100,000
Effective 60 Percent Band Max	125,140
Dividend Allowance	500
Dividend Basic Rate	8.75
Dividend Higher Rate	33.75
Dividend Additional Rate	39.35
Personal Savings Allowance Basic	1,000
Personal Savings Allowance Higher	500
Personal Savings Allowance Additional	0

›Scottish taxpayers pay different income tax rates set by the Scottish Parliament. Scotland has 6 bands: Starter (19%), Basic (20%), Intermediate (21%), Higher (42%), Advanced (45%), Top (48%). These apply to earned/pension income but not savings/dividends.
›The personal allowance tapers to zero for incomes between £100,000 and £125,140, creating a 60% effective marginal tax rate in this band. Pension contributions can restore the personal allowance by reducing adjusted net income.
›NI thresholds are frozen until April 2028. Combined with inflation-driven pay rises, this creates fiscal drag: more income moves into higher NI/tax bands each year.
›Self-employed Class 4 NIC is 6% on profits between £12,570–£50,270 and 2% above. Class 2 NIC (£3.45/week) was abolished from April 2024.