UK Tax Changes 2026/27

Key tax changes taking effect in the 2026/27 UK tax year (6 April 2025 – 5 April 2026).

Income Tax

• Personal Allowance: £12,570 (frozen until 2028).
• Basic rate threshold: £50,270 (frozen).
• Additional rate threshold: £125,140.

National Insurance (Employee Contributions)

• Primary threshold: £12,570 per year.
• Rate: 8% on earnings between £12,570 and £50,270; 2% above £50,270.

Pensions

• Annual allowance: £60,000.
• Auto-enrolment minimum: 8% of qualifying earnings (5% employee + 3% employer).