These tables are stated as at 30 October 2026 and reflect the Budget announced on 28 October 2026. Many of the 2027/28 figures still need legislation in Finance Bill 2026-27, and Founders’ Relief is under consultation, so some figures may change before they take effect. The tables do not cover every tax, rate or relief, and they are not advice on your circumstances.
These tax tables set out the main UK tax rates, allowances and thresholds for the 2026/27 and 2027/28 tax years, side by side, including the changes announced at the Budget. Figures that change in 2027/28 are shown in bold. For what the changes mean for you or your business, read our Budget 2026 summary. A printable PDF of the tables is free to download.
Starting rate for savings, on savings income up to £5,000
0%
0%
Income tax allowances
Allowance
2026/27
2027/28
Personal allowance
£12,570
£12,570
Income above which the personal allowance is withdrawn (£1 for every £2)
£100,000
£100,000
Marriage allowance (transferable)
£1,260
£1,260
Blind person’s allowance
£3,250
£3,370
Dividend allowance
£500
£500
Personal savings allowance: basic rate taxpayer
£1,000
£1,000
Personal savings allowance: higher rate taxpayer
£500
£500
Trading allowance
£1,000
£3,000
Class 1 National Insurance thresholds (a week)
Threshold
2026/27
2027/28
Lower earnings limit
£129
£133
Primary threshold (employees)
£242
£242
Secondary threshold (employers)
£96
£96
Upper earnings limit
£967
£967
Upper secondary threshold, employees under 21 and apprentices under 25
£967
£967
Class 1 National Insurance rates
Earnings
2026/27
2027/28
Employee, primary threshold to upper earnings limit
8%
8%
Employee, above upper earnings limit
2%
2%
Employer, above secondary threshold
15%
15%
Employment allowance, per eligible employer a year
£10,500
£10,500
Self-employed and voluntary contributions
Contribution
2026/27
2027/28
Class 4 lower profits limit (a year)
£12,570
£12,570
Class 4 upper profits limit (a year)
£50,270
£50,270
Class 4 rate, between the limits
6%
6%
Class 4 rate, above the upper profits limit
2%
2%
Class 2 small profits threshold (a year)
£7,105
£7,355
Class 2 voluntary rate (a week)
£3.65
£3.80
Class 3 voluntary rate (a week)
£18.40
£19.05
The property income rates for 2027/28 apply in England, Wales and Northern Ireland, although the Scottish and Welsh governments can set their own property income rates, and the savings and dividend rates apply throughout the UK. Scottish taxpayers pay income tax on earnings, pensions and trading profits at rates and bands set by the Scottish Parliament, which are not shown. The trading allowance increase is to be legislated in Finance Bill 2026-27.
Capital taxes, property and VAT
Capital gains tax
Rate or allowance
2026/27
2027/28
Rate on gains, basic rate taxpayer
18%
18%
Rate on gains, higher and additional rate taxpayer
24%
24%
Rate for trustees and personal representatives
24%
24%
Annual exempt amount: individuals and personal representatives
£3,000
£3,000
Annual exempt amount: most trustees
£1,500
£1,500
Business Asset Disposal Relief: rate
18%
18%
Business Asset Disposal Relief: lifetime limit
£1 million
£500,000
Investors’ Relief: rate
18%
18%
Investors’ Relief: lifetime limit
£1 million
£1 million
Founders’ Relief (proposed): rate
Not available
10%
Founders’ Relief (proposed): lifetime limit
Not available
£10 million
Inheritance tax
Rate or allowance
2026/27
2027/28
Nil-rate band
£325,000
£325,000
Residence nil-rate band
£175,000
£175,000
Estate value above which the residence nil-rate band is withdrawn (£1 for every £2)
£2 million
£2 million
Allowance for 100% agricultural and business property relief
£2.5 million
£2.5 million
Rate on death
40%
40%
Rate on death where 10% or more of the estate is left to charity
36%
36%
Rate on chargeable lifetime transfers
20%
20%
VAT
Rate or threshold
2026/27
2027/28
Standard rate, reduced rate
20%, 5%
20%, 5%
Registration threshold
£90,000
£90,000
Deregistration threshold
£88,000
£88,000
Pensions
Allowance
2026/27
2027/28
Annual allowance
£60,000
£60,000
Money purchase annual allowance
£10,000
£10,000
Adjusted income above which the annual allowance is tapered
£260,000
£260,000
Lump sum allowance
£268,275
£268,275
Lump sum and death benefit allowance
£1,073,100
£1,073,100
ISAs and Child Benefit
Limit or rate
2026/27
2027/28
ISA annual subscription limit
£20,000
£20,000
Junior ISA annual subscription limit
£9,000
£9,000
Child Benefit, eldest or only child (a week)
£27.05
£28.00
Child Benefit, each other child (a week)
£17.90
£18.55
Stamp duty land tax, residential (both years)
Portion of the price
Main rate
Additional dwellings
Up to £125,000
0%
5%
£125,001 to £250,000
2%
7%
£250,001 to £925,000
5%
10%
£925,001 to £1.5 million
10%
15%
Over £1.5 million
12%
17%
Stamp duty land tax, other purchases (both years)
Purchase
Rates on each portion of the price
First-time buyers, price up to £500,000
0% up to £300,000, then 5%
Non-residential and mixed-use property
0% up to £150,000, 2% up to £250,000, then 5%
Founders’ Relief is subject to a technical consultation that closes on 30 November 2026, and any Business Asset Disposal Relief or Investors’ Relief claimed from 6 April 2027 reduces its £10 million limit. The lower Business Asset Disposal Relief limit applies to disposals on or after 6 April 2027. Stamp duty land tax applies in England and Northern Ireland; purchases by certain non-UK residents pay a further 2%. Scotland and Wales have their own land transaction taxes.
Businesses and employers
Corporation tax and business rates follow financial years beginning on 1 April.
Corporation tax
Rate or limit
FY 2026
FY 2027
Main rate, profits over £250,000
25%
25%
Small profits rate, profits up to £50,000
19%
19%
Marginal relief fraction, profits between the limits
3/200
3/200
Capital allowances and R&D
Allowance or relief
2026/27
2027/28
Annual Investment Allowance
£1 million
£1 million
Full expensing, companies, new main-rate plant
100%
100%
Main-rate first-year allowance
40%, 50% from 1 Jan 2027
50%
Special-rate first-year allowance, companies
50%
50%
Writing-down allowance, main pool
14%
12%
Writing-down allowance, special-rate pool
6%
6%
Structures and buildings allowance
3%
3%
R&D expenditure credit
20%
20%
R&D intensive support: payable credit rate
14.5%
14.5%
Business rates multipliers, England (pence per £)
Multiplier
2026/27
2027/28
Small business, rateable value under £51,000
43.2p
44.7p
Standard, £51,000 to £499,999
48p
49.7p
Retail, hospitality and leisure, under £51,000
38.2p
39.7p
Retail, hospitality and leisure, £51,000 to £499,999
43p
44.7p
High-value, £500,000 and above
50.8p
52.5p
Minimum wage (an hour, from 1 April)
Age
2026/27
2027/28
National Living Wage, 21 and over
£12.71
£13.21
18 to 20
£10.85
£11.27
16 and 17, and apprentices
£8.00
£8.31
Tax-free mileage rates, own car or van
Business miles in the tax year
2026/27
2027/28
First 10,000 miles
55p
55p
Above 10,000 miles
25p
35p
Company cars: percentage of list price taxed
CO2 emissions (g/km) and electric range
2026/27
2027/28
0 (fully electric)
4%
5%
1 to 50, range over 130 miles
4%
5%
1 to 50, range 70 to 129 miles
7%
8%
1 to 50, range 40 to 69 miles
11%
12%
1 to 50, range 30 to 39 miles
13%
14%
1 to 50, range under 30 miles
15%
16%
51 to 54
16%
17%
55 to 59
17%
18%
60 to 64
18%
19%
65 to 69
19%
20%
70 to 79
20%
20%
80 and above: 21% at 80 to 84, rising by one point for each 5 g/km
Up to 37%
Up to 37%
Vans and fuel benefit (a year)
Charge
2026/27
2027/28
Van benefit charge
£4,170
£4,310
Van fuel benefit charge
£798
£825
Car fuel benefit multiplier (applied to the company car percentage)
£29,200
£30,200
For diesel cars that do not meet the RDE2 emissions standard, 4 percentage points are added to the company car percentage, subject to the 37% maximum. The higher first-year allowance applies to expenditure incurred on or after 1 January 2027; the lower main-pool writing-down allowance applies from 1 April 2027 for companies and 6 April 2027 for income tax. The mileage rates apply to employees and the self-employed. Retail, hospitality and leisure premises in England with a rateable value up to £18,000 are to receive full small business rates relief from 1 April 2027, tapering to nil at £21,000.
Download the tax tables
The same tables are available as a five-page PDF, set out for printing.
The figures are taken from HMRC’s Budget 2026: overview of tax legislation and rates (Annex A, rates and allowances, 28 October 2026) and HM Treasury’s Budget 2026 (HC 726), with the 2026/27 van and fuel benefit charges from HMRC’s policy paper of 3 December 2025 and the current minimum wage rates from GOV.UK. Current income tax rates are also published on GOV.UK.
To discuss how any of these rates and allowances apply to you or your business, please contact your usual Jack Ross partner, call us on 0161 832 4451 or send us a message.
