# Income Tax rates and bands 2026/27

> In 2026/27 the Personal Allowance is £12,570. In England, Wales and Northern Ireland the basic rate of 20% applies up to £50,270, the higher rate of 40% up to £125,140 and the additional rate of 45% above that. Scotland has six rates from 19% to 48%.

## Key facts
- Personal Allowance: £12,570 (tax code 1257L).
- Basic rate band: £37,700 of taxable income.
- Higher rate threshold: £50,270; additional rate from £125,140.
- The Personal Allowance falls by £1 for every £2 of income over £100,000.

## England, Wales and Northern Ireland

| Band | Salary (with the full Personal Allowance) | Taxable income | Rate |
| --- | --- | --- | --- |
| Personal Allowance | £0 – £12,570 | — | 0% |
| Basic rate | £12,571 – £50,270 | £1 – £37,700 | 20% |
| Higher rate | £50,271 – £125,140 | £37,701 – £125,140 | 40% |
| Additional rate | over £125,140 | over £125,140 | 45% |

Wales has its own Welsh rates of Income Tax, but for 2026/27 they give the same 20%, 40% and 45% overall rates as England. Northern Ireland uses the UK rates.

## Scotland

| Band | Salary (with the full Personal Allowance) | Taxable income | Rate |
| --- | --- | --- | --- |
| Personal Allowance | £0 – £12,570 | — | 0% |
| Starter rate | £12,571 – £16,537 | £1 – £3,967 | 19% |
| Basic rate | £16,538 – £29,526 | £3,968 – £16,956 | 20% |
| Intermediate rate | £29,527 – £43,662 | £16,957 – £31,092 | 21% |
| Higher rate | £43,663 – £75,000 | £31,093 – £62,430 | 42% |
| Advanced rate | £75,001 – £125,140 | £62,431 – £125,140 | 45% |
| Top rate | over £125,140 | over £125,140 | 48% |

## Personal Allowance withdrawal

If your adjusted net income is over £100,000, your Personal Allowance goes down by £1 for every £2 above that limit, until it is zero at £125,140. For example, at £110,000 the allowance is £7,570.

## Example: how the bands apply

On a £60,000 salary in England, the first £12,570 is tax-free, the next £37,700 is taxed at 20% (£7,540) and the remaining £9,730 at 40% (£3,892): £11,432 of Income Tax in total. Moving into a higher band only affects the part of your income inside it.

- [Take-home pay calculator](https://www.clearpayslip.com)
- [The £100,000 tax trap](https://www.clearpayslip.com/100k-tax-trap)
- [Scotland take-home pay](https://www.clearpayslip.com/scotland)

## Frequently asked questions
### What are the Income Tax bands for 2026/27?
0% up to £12,570, 20% from £12,571 to £50,270, 40% from £50,271 to £125,140 and 45% above £125,140, in England, Wales and Northern Ireland.

### What are the Scottish tax bands for 2026/27?
On salary with the full Personal Allowance: 19% from £12,571 to £16,537, 20% to £29,526, 21% to £43,662, 42% to £75,000, 45% to £125,140 and 48% above.

### Do I take home less if I move into a higher band?
No. Only the part of your income inside the higher band is taxed at the higher rate, so a pay rise always increases take-home pay, even in the £100,000–£125,140 range.

## Official sources
- [Rates and thresholds for employers 2026 to 2027 (HMRC, GOV.UK)](https://www.gov.uk/guidance/rates-and-thresholds-for-employers-2026-to-2027)
- [Income Tax rates and allowances for current and previous tax years (HMRC)](https://www.gov.uk/government/publications/rates-and-allowances-income-tax/income-tax-rates-and-allowances-current-and-past)
- [Income Tax rates and Personal Allowances: income over £100,000 (GOV.UK)](https://www.gov.uk/income-tax-rates/income-over-100000)
- [Scottish Income Tax: rates and bands 2026 to 2027 (Scottish Government)](https://www.gov.scot/publications/scottish-income-tax-rates-and-bands/pages/2026-to-2027/)
- [Rates and allowances: National Insurance contributions (HMRC)](https://www.gov.uk/government/publications/rates-and-allowances-national-insurance-contributions/rates-and-allowances-national-insurance-contributions)
- [Repaying your student loan: how much you repay (GOV.UK)](https://www.gov.uk/repaying-your-student-loan/what-you-pay)

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ClearPayslip · Updated on 2026-10-22 · https://www.clearpayslip.com/tax-bands