Welsh Rates of Income Tax (WRIT) 2026/27
The Welsh Government confirmed in its December 2025 Budget that WRIT for 2026/27 will remain at 10p in every band — the default position since devolution of income tax began in April 2019. Combined with the reduced UK base rate (also 10p), Welsh taxpayers pay exactly the same income tax as those in England and Northern Ireland.
The Welsh Government has the legal power under the Wales Act 2014 to vary each WRIT band by up to 10p (either raising or reducing it). As of 2026/27, it has never exercised that power — every year since 2019/20 has seen WRIT set at the default 10p. Any future divergence would be announced in a Welsh Budget and would take effect from the following 6 April.
| Band | Taxable income | UK rate (10p) | WRIT (10p) | Combined |
|---|---|---|---|---|
| Basic rate | £12,571 – £50,270 | 10% | 10% | 20% |
| Higher rate | £50,271 – £125,140 | 30% | 10% | 40% |
| Additional rate | Above £125,140 | 35% | 10% | 45% |
The personal allowance of £12,570 applies to all UK taxpayers including Welsh residents. National Insurance is set UK-wide and is identical in all four nations.
Take-Home Pay: Wales vs England vs Scotland 2026/27
Because WRIT mirrors English rates in 2026/27, Welsh and English take-home pay are identical at every salary level. Scotland diverges significantly above £28,000 due to its multi-band Income Tax structure. The table below shows estimated annual net pay after income tax and National Insurance (employee Class 1, standard employee, no pension, no student loan).
| Gross salary | Wales / England | Scotland | Wales advantage |
|---|---|---|---|
| £20,000 | £17,838 | £17,793 | +£45 vs Scotland |
| £30,000 | £24,838 | £24,693 | +£145 vs Scotland |
| £35,000 | £27,938 | £27,593 | +£345 vs Scotland |
| £45,000 | £33,738 | £32,243 | +£1,495 vs Scotland |
| £60,000 | £42,438 | £39,543 | +£2,895 vs Scotland |
| £80,000 | £53,238 | £48,393 | +£4,845 vs Scotland |
| £100,000 | £62,238 | £56,343 | +£5,895 vs Scotland |
Estimates only — based on 2026/27 income tax and NI rates. Figures assume standard personal allowance, no salary sacrifice, no pension contribution, no student loan. Use our take-home pay calculator for a personalised figure.
Land Transaction Tax (LTT) in Wales 2026/27
The Welsh Budget December 2025 confirmed no changes to LTT bands or rates for 2026/27. Wales replaced Stamp Duty Land Tax with LTT in April 2018. The Welsh Revenue Authority (WRA) administers LTT — not HMRC.
Standard residential LTT rates 2026/27
| Property price | LTT rate | SDLT (England) for comparison |
|---|---|---|
| Up to £225,000 | 0.0% | 0% to £125,000 |
| £225,001 – £400,000 | 6% | 2–5% (£125k–£250k), 5% (£250k–£400k) |
| £400,001 – £750,000 | 7.50% | 5% (to £925k) |
| £750,001 – £1,500,000 | 10% | 10% (to £1.5m) |
| Above £1,500,000 | 12% | 12% |
Additional property (second homes / buy-to-let) LTT rates
| Property price | LTT higher rate |
|---|---|
| Up to £180,000 | 5% |
| £180,001 – £250,000 | 8.50% |
| £250,001 – £400,000 | 10% |
| £400,001 – £750,000 | 12.50% |
| £750,001 – £1,500,000 | 15% |
| Above £1,500,000 | 17% |
Higher rates (Schedule 7) apply when a purchaser owns — or is deemed to own — at least one other dwelling at the end of the effective date. A 30-day refund window applies if the previous main residence is sold within that period.
Worked example: £350,000 property — LTT (Wales) vs SDLT (England)
| Slice | LTT (Wales) | SDLT (England) |
|---|---|---|
| 0% nil-rate band | £225,000 | £125,000 |
| Tax on first slice | £0 | £0 |
| 2% SDLT / — LTT on £125k–£250k | — | £2,500 |
| 5% SDLT on £250k–£300k | — | £2,500 |
| 6% LTT on £225k–£350k | £7,500 | — |
| 5% SDLT on £300k–£350k | — | £2,500 |
| Total payable | £7,500 | £7,500 |
At £350,000 the totals happen to be equal — Wales's higher nil-rate band offsets the 6% rate above it. No first-time buyer relief in Wales — unlike England (0% to £300k, 5% to £500k for FTBs). A first-time buyer in England pays £2,500 on a £350,000 home; a Welsh first-time buyer pays the full £7,500.
Use our LTT / Stamp Duty calculator — select Wales for accurate LTT figures including the higher rate.
Welsh Council Tax 2026/27
Council Tax is set by each of Wales's 22 local authorities. The Welsh Government provides the annual local government settlement, which determines how much funding councils receive from central government and implicitly guides the council tax level required to balance budgets.
How Wales differs from England
| Feature | Wales | England |
|---|---|---|
| Number of bands | 9 (A–I) | 8 (A–H) |
| Valuation basis | 2003 values | 1991 values |
| 2026/27 referendum limit | 5% | 3% (+ 2% adult social care) |
| Administering body | Welsh Government settlement | DLUHC settlement |
| Discounts / exemptions | Single-person 25%; full exemptions vary by authority | Single-person 25% |
2026/27 increases — major Welsh authorities
| Authority | 2026/27 increase | Band D approx. |
|---|---|---|
| Cardiff | 4.95% | ~£1,820 |
| Swansea | 4.9% | ~£1,795 |
| Newport | 4.85% | ~£1,810 |
| Wrexham | 4.75% | ~£1,770 |
| Rhondda Cynon Taf | 5.0% | ~£1,840 |
Band D figures are approximate and based on publicly available council resolutions. Check your authority's website for the precise Band D rate for your area.
NHS Wales Funding 2026/27
Health is a devolved matter in Wales. NHS Wales is funded entirely by the Welsh Government from its block grant — separate from NHS England. The December 2025 Welsh Budget allocated significant additional resource to health to address persistent waiting list pressures following the COVID-19 pandemic.
NHS Wales operates through seven regional Health Boards (Aneurin Bevan, Cardiff and Vale, Cwm Taf Morgannwg, Betsi Cadwaladr, Hywel Dda, Powys Teaching, Swansea Bay) plus three NHS Trusts. The 2026/27 settlement represents the largest single-year increase in NHS Wales funding since 2010, in cash terms.
Unlike in England, prescriptions in Wales have been free since 2007 — this continues unchanged. NHS dentistry reform funding of £30 million was also included to address the shortage of NHS dental places following significant contractor exits from the NHS contract.
Welsh Language Public Services
The Welsh language (Cymraeg) is an official language in Wales alongside English. The Welsh Government's Cymraeg 2050 strategy targets one million Welsh speakers by 2050. The 2026/27 Budget allocates £45 million specifically to Welsh-language public services, a significant increase from the £31 million baseline in 2025/26.
| Programme | 2026/27 allocation |
|---|---|
| Welsh-medium childcare expansion (5,000 new places) | £18m |
| Welsh-language GP consultation services | £8m |
| Digital-first Welsh language services (government portals) | £9m |
| Welsh-medium secondary school places | £10m |
| Total Welsh language programme | £45m |
All new Welsh Government digital services must now comply with the Welsh Language Standards from day one of launch — a requirement introduced following the 2021 Welsh Language Measure review. Public bodies in Wales are legally required to provide Welsh-language services under the Welsh Language (Wales) Measure 2011 and Standards regulations.