Answers · UK 2025/26
What is the corporation tax rate in 2026?
The main corporation tax rate for 2026 is 25% for companies with profits over £250,000. Small profits rate of 19% applies to profits up to £50,000. Marginal relief applies between £50,000 and £250,000, giving an effective blended rate. Associated companies split these thresholds.
Full answer
The UK corporation tax rates for accounting periods in 2026 are: 25% (main rate) for companies with taxable profits over £250,000; 19% (small profits rate) for companies with taxable profits up to £50,000. For profits between £50,000 and £250,000, marginal relief applies — the effective rate graduates smoothly between 19% and 25%. The marginal relief fraction for 2026 is 3/200 of the difference between the upper and lower limits, reduced by the company's profits. If a company has associated companies (broadly those under common ownership), the £50,000 and £250,000 thresholds are divided by the number of associated companies plus one. Ring fence profits from North Sea oil and gas activities are taxed at different rates.
This answer is informational only and does not constitute financial, tax or legal advice. Figures are for the 2025/26 UK tax year. See our methodology and sources.