Tax Rates & Thresholds 2025/26
Effective from 6 April 2025
Income Tax (England, Wales, NI)
| Band | Income Range | 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% |
Dividend Tax
| Band | Rate |
|---|---|
| Allowance | 0% (First £500) |
| Basic Rate | 8.75% |
| Higher Rate | 33.75% |
| Additional Rate | 39.35% |
National Insurance (Directors)
| Type | Threshold (Annual) | Rate |
|---|---|---|
| Employee (Primary) | > £12,570 | 8% |
| Employer (Secondary) | > £5,000 | 15% |
Corporation Tax
| Profit Level | Rate |
|---|---|
| Small Profits (under £50k) | 19% |
| Main Rate (over £250k) | 25% |
| Marginal Rate | 26.5% (effective) |
Student Loans
| Plan | Threshold | Rate |
|---|---|---|
| Plan 1 | £24,990 | 9% |
| Plan 2 | £27,295 | 9% |
| Plan 4 | £31,395 | 9% |
| Plan 5 | £25,000 | 9% |
| Postgraduate | £21,000 | 6% |