Answers · UK 2025/26

What is the higher rate tax threshold in the UK for 2026/27?

The higher rate Income Tax threshold for 2026/27 is £50,270. Any taxable income above £50,270 is taxed at 40%. The Personal Allowance is £12,570, so the basic rate band (20%) covers income from £12,571 to £50,270 — a span of £37,700. This threshold has been frozen since 2021.

Last updated: 20 June 2026Last reviewed: 20 June 2026How we verify

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UK higher rate Income Tax threshold 2026/27. The threshold above which 40% Income Tax applies is £50,270 in total taxable income. The Personal Allowance of £12,570 is subtracted first, leaving a basic-rate band from £12,571 to £50,270 (width of £37,700) taxed at 20%. Income above £50,271 up to £125,140 is taxed at 40% — the higher rate. Income above £125,140 is taxed at 45% — the additional rate. The threshold has been frozen at £50,270 since 2021/22 and is set to remain frozen until at least April 2028 under the government's fiscal plans. Because of wage growth, more people are being dragged into the higher-rate band each year — often referred to as 'fiscal drag'. In 2010 the threshold was £43,875 and only 10% of taxpayers paid the higher rate; today it is approximately 14%. Scottish taxpayers have different rates and bands: the Scottish higher rate of 42% begins at £43,662; the advanced rate of 45% on £75,001 to £125,140; and the top rate of 48% above £125,140. Northern Ireland and Wales follow the same rates as England for Income Tax.