All important UK tax and salary changes for the 2026/27 tax year, with links to affected calculators.
Every calculator on Real Salary has been updated with the confirmed 2026/27 rates and thresholds from HMRC, including income tax bands, National Insurance rates, student loan thresholds and pension auto-enrolment limits.
The Personal Allowance stays at £12,570 and the higher rate threshold at £50,270 for 2026/27. With wage growth, more earners are being pulled into higher tax bands through fiscal drag. The additional rate of 45% continues to apply from £125,140.
The employee Class 1 NI rate remains at 8% on earnings between £12,570 and £50,270, with 2% above. However, employer NI has risen to 15% (from 13.8%), and the Secondary Threshold has dropped to £5,000, increasing the cost of employment.
Updated thresholds: Plan 1 rises to £24,990, Plan 2 to £27,295, Plan 4 to £31,395, and Plan 5 to £25,000. Postgraduate loan repayment threshold remains £21,000. All at 9% (postgrad: 6%) of earnings above the threshold.
The National Living Wage for workers aged 21 and over increases to £12.21 per hour from April 2026, up from £11.44. The 18-20 rate rises to £10.00 and the apprentice rate to £7.55.
Minimum auto-enrolment contributions remain at 8% of qualifying earnings (5% employee, 3% employer) for 2026/27. The qualifying earnings band is £6,240 to £50,270. Salary sacrifice remains the most tax-efficient method.
Scotland retains its six-band income tax structure for 2026/27: starter (19%), basic (20%), intermediate (21%), higher (42%), advanced (45%), and top (48%). The starter band begins at £12,571 and the top rate applies from £125,141.
The Marriage Allowance transfer stays at £1,260 (10% of the Personal Allowance), saving up to £252 per year. Available where one partner earns under £12,570 and the other is a basic rate taxpayer.
Updated for 2026/27 tax year