UK Tax Year Changes
Track how UK tax rules change each year. See what’s different for income tax, National Insurance, capital gains, and more.
2026-27
Income tax thresholds remain frozen while employer NI stays at the higher 15% rate introduced in April 2025.
Read full analysis →Income tax thresholds remain frozen
NegativeThe Personal Allowance stays at £12,570 and the higher rate threshold at £50,270, continuing the freeze that started in 2021.
Calculate yours →Employer NI rate stays at 15%
NegativeThe employer NI rate remains at 15% with the £5,000 secondary threshold, introduced in April 2025.
Calculate yours →Capital gains tax rates unchanged
NeutralCGT rates remain at 18% (basic) and 24% (higher) for most assets after the October 2024 increases.
Calculate yours →Dividend allowance stays at £500
NeutralThe tax-free dividend allowance remains at £500, down from £2,000 in 2022-23.
Calculate yours →Employment Allowance at £10,500
PositiveSmall businesses can reduce their employer NI bill by up to £10,500, increased from £5,000.
Calculate yours →Scottish Starter and Basic bands uplifted
PositiveRates unchanged (19% to 48%) but Scottish Budget 2026-27 uplifted the Starter band by 40% and the Basic band by 7.4%. Starter now runs to £16,537 and Basic to £29,526. Intermediate, Higher, Advanced and Top thresholds remain frozen.
Calculate yours →2025-26 — Major employer NI increase to 15%, frozen income tax thresholds, and CGT rate rises took effect.
Employer NI increased to 15%
NegativeEmployer NI rose from 13.8% to 15%, with the secondary threshold cut from £9,100 to £5,000.
Calculate yours →Income tax thresholds still frozen
NegativePersonal Allowance and rate thresholds remain unchanged, pulling more earnings into higher bands.
Calculate yours →Capital gains tax rates increased
NegativeLower rate rose from 10% to 18%, higher rate from 20% to 24% for most assets.
Calculate yours →Child Benefit HICBC thresholds raised
PositiveHICBC now starts at £60,000 (up from £50,000) with a tapered clawback to £80,000.
Calculate yours →2024-25 — Employee NI cut to 8%, dividend allowance halved to £500, and CGT annual exempt amount reduced.
Employee NI cut to 8%
PositiveEmployee NI main rate reduced from 12% to 8% (via two cuts in January and April 2024).
Calculate yours →Dividend allowance halved to £500
NegativeTax-free dividend allowance dropped from £1,000 to £500.
Calculate yours →CGT annual exempt amount cut to £3,000
NegativeThe capital gains tax-free allowance dropped from £6,000 to £3,000.
Calculate yours →Compare Your Tax
See exactly how much more or less you’ll take home by comparing two tax years side by side.
Open Tax Year Comparison →Related Calculators
Last updated March 2026. Covers 2026-27, 2025-26, and 2024-25 tax years.