The income tax threshold freeze in 2026/27
A frozen threshold does not move with pay or with prices. No rate has to change for more of your pay to be taxed at a higher one: the line stays where it is while your salary rises past it. These thresholds are frozen until 5 April 2031.
What is frozen, and at what
| Threshold | Frozen at | Level for |
|---|---|---|
| Personal Allowance | £12,570 | 2026/27 |
| Basic rate limit (taxable income) | £37,700 | 2026/27 |
| Higher-rate threshold (total pay) | £50,270 | 2026/27 |
| National Insurance Primary Threshold | £12,570 | 2026/27 |
| Upper Earnings Limit | £50,270 | 2026/27 |
| Secondary Threshold (employer) | £5,000 | 2026/27 |
GOV.UK’s policy paper is the source for both the list and the date. The Scottish Parliament sets its own bands above the Personal Allowance, so the Scottish thresholds are not in this list; the allowance itself is, and it applies across the UK.
Crossing a frozen line
| Yearly pay | Income tax | National Insurance | Take-home a year | A month |
|---|---|---|---|---|
| £50,269 | £7,539.80 | £3,015.36 | £39,713.84 | £3,309.49 |
| £50,271 | £7,540.40 | £3,015.36 | £39,715.24 | £3,309.60 |
A pound of pay just below the higher-rate threshold costs 28% in income tax and National Insurance together; a pound just above it costs 42%. Only that pound does: the pay below the line keeps the rate it always had, which is why the take-home figures in the two rows are so close together.