Income Tax UK: Tax Codes, Allowances, PAYE, Scottish Rates and Reliefs UK Tax Brackets 2026/27 Quick Reference Current UK income tax bands and rates. Personal allowances, tax thresholds, and how much you'll pay at each level — updated for 2026/27.
By James Whitfield
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23 March 2026
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Last reviewed: 16 September 2026
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2 min read A quick reference to UK income tax bands and rates for the 2026/27 tax year.
England, Wales & Northern Ireland Tax Bands 2026/27 Band Taxable Income Tax Rate Personal Allowance £0 - £12,570 0% Basic Rate £12,571 - £50,270 20% Higher Rate £50,271 - £125,140 40% Additional Rate Over £125,140 45%
Tax-Free Personal Allowance Situation Allowance Standard £12,570 Blind Person’s +£3,070 Marriage Allowance Transfer up to £1,260 Over £100k income Reduced
Scotland Scottish Tax Bands 2026/27 Band Taxable Income Tax Rate Personal Allowance £0 - £12,570 0% Starter Rate £12,571 - £16,537 19% Basic Rate £16,538 - £29,526 20% Intermediate Rate £29,527 - £43,662 21% Higher Rate £43,663 - £75,000 42% Advanced Rate £75,001 - £125,140 45% Top Rate Over £125,140 48%
Personal Allowance Reduction Over £100,000 Income Your Income Personal Allowance £100,000 £12,570 £110,000 £7,570 £120,000 £2,570 £125,140+ £0
How It Works Calculator Income over £100k £ Divide by 2 = reduction Max reduction £12,570
The 60% Trap Income Range Effective Rate £100,000 - £125,140 ~60% Why? 40% tax + lost allowance Avoid Pension contributions
Quick Tax Calculations Tax on Different Salaries Salary Tax Paid Effective Rate £20,000 £1,486 7.4% £30,000 £3,486 11.6% £40,000 £5,486 13.7% £50,000 £7,486 15.0% £60,000 £11,486 19.1% £70,000 £15,486 22.1% £80,000 £19,486 24.4% £100,000 £27,486 27.5%
Note: Tax only, excludes National Insurance
Understanding Marginal Rate Concept Explanation Marginal rate Tax on next £1 earned Not average Only on that portion If earning £55,000 Marginal rate is 40% But average Much lower
Dividend Tax Dividend Rates 2026/27 Band Rate Dividend Allowance £500 tax-free Basic Rate 8.75% Higher Rate 33.75% Additional Rate 39.35%
Which Band? Your Total Income Dividend Rate Under £50,270 8.75% £50,271 - £125,140 33.75% Over £125,140 39.35%
Capital Gains Tax CGT Rates 2026/27 Asset Basic Rate Higher Rate All assets (property & other) 18% 24%
Annual Exempt Amount Year Exemption 2026/27 £3,000 Previously Higher Now Significantly reduced
Savings Tax Personal Savings Allowance Tax Band PSA Basic Rate £1,000 Higher Rate £500 Additional Rate £0
Starting Rate for Savings Condition Rate Non-savings income under £17,570 0% up to £5,000 On savings interest
Tax-Free Allowances Summary Allowance Amount 2026/27 Personal Allowance £12,570 Personal Savings Allowance £1,000/£500 Dividend Allowance £500 Capital Gains Allowance £3,000 ISA Allowance £20,000
Key Dates Date Action 6 April Tax year starts 5 April Tax year ends 31 January Self Assessment deadline 31 July Payment on account due
Summary Key Threshold Amount Tax-free earnings £12,570 Basic rate ends £50,270 Higher rate ends £125,140 Personal Allowance lost £125,140
Quick Lookup 2026/27 Personal Allowance £12,570 Basic Rate 20% Higher Rate 40% Additional Rate 45%
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