Answers · UK 2025/26

How much can Marriage Allowance save us in 2026/27 and who is eligible?

Marriage Allowance lets a non-taxpaying spouse transfer GBP 1,260 of their Personal Allowance to a basic-rate partner in 2026/27, cutting the couple's tax by up to GBP 252 a year. The lower earner must have income below GBP 12,570 and the higher earner must be a basic-rate taxpayer.

Last updated: 10 June 2026Last reviewed: 10 June 2026How we verify

Full answer

Marriage Allowance allows one spouse or civil partner to transfer GBP 1,260 of their GBP 12,570 Personal Allowance to the other. The recipient gets a tax reduction of 20% of GBP 1,260, which is GBP 252 a year. To qualify in 2026/27, the person giving up the allowance must normally have income below the GBP 12,570 Personal Allowance, and the receiving partner must be a basic-rate (20%) taxpayer, meaning income between GBP 12,570 and the GBP 50,270 higher-rate threshold. You cannot claim if the higher earner pays tax at 40% or above. Worked example: Megan earns GBP 8,000 (below the Personal Allowance, so she pays no tax and has spare allowance). Her husband Owen earns GBP 30,000 and is a basic-rate taxpayer. Megan transfers GBP 1,260 of her allowance to Owen. Owen's effective Personal Allowance rises, reducing his tax bill by GBP 252 for the year. Megan still pays no tax because her income (GBP 8,000) is below her reduced allowance of GBP 11,310. You can backdate claims up to four tax years if you were eligible, which can be worth over GBP 1,000 in total. The allowance renews automatically once claimed, so you only apply once, though you should cancel it if circumstances change (for example, the higher earner becomes a 40% taxpayer). Use the marriage-allowance calculator to confirm eligibility and the exact saving for your incomes. To apply or check backdating, go to gov.uk.