UK Tax Rates & Allowances 2024/25

Every rate, band, and allowance for the current UK tax year — at a glance.

By · Updated · Methodology

Income tax (England, Wales, NI)

  • Personal Allowance: £12,570
  • Basic rate (20%): £12,571 – £50,270
  • Higher rate (40%): £50,271 – £125,140
  • Additional rate (45%): over £125,140
  • Allowance taper: £1 lost per £2 earned above £100,000

National Insurance

  • Employee NI (Class 1): 8% on £242.01 – £967/week; 2% above
  • Self-employed (Class 4): 6% on £12,570 – £50,270; 2% above
  • Class 2 NI abolished from April 2024 (voluntary Class 2 still available)

Savings & investments

  • ISA annual allowance: £20,000
  • Lifetime ISA: £4,000/year (included in £20k) + 25% government bonus
  • Personal Savings Allowance: £1,000 (basic rate) / £500 (higher rate) / £0 (additional rate)
  • Dividend Allowance: £500
  • Capital Gains Tax Allowance: £3,000

Property

  • SDLT nil-rate threshold (main residence): £250,000
  • SDLT first-time buyer nil-rate: £425,000 (relief disappears above £625,000)
  • Additional property surcharge: 5%

VAT & Corporation Tax

  • Standard VAT rate: 20%; registration threshold £90,000
  • Small profits CT rate: 19% (profits up to £50,000)
  • Main CT rate: 25% (profits above £250,000; marginal relief between)

Pensions

  • Annual allowance: £60,000 (tapered above £260,000 adjusted income)
  • Minimum tapered allowance: £10,000
  • Lifetime allowance: abolished from April 2024
  • Pension commencement lump sum cap: £268,275

Calculators for these bands

Salary to hourly Stamp duty VAT calculator Pay rise calculator

Scotland: separate income tax bands

Scottish taxpayers pay Scottish rates on non-savings income: 19% starter (£12,571–£14,876), 20% basic (£14,877–£26,561), 21% intermediate (£26,562–£43,662), 42% higher (£43,663–£125,140), 47% top rate (above £125,140) for 2024/25. Personal Allowance and NI rules remain UK-wide. Savings and dividend income still use the rest-of-UK bands.

Inheritance tax

  • Nil-rate band: £325,000
  • Residence nil-rate band: up to £175,000 (when leaving main home to direct descendants)
  • Standard rate above thresholds: 40%
  • Reduced rate when 10%+ of estate left to charity: 36%
  • Spouse/civil partner transfers: 0%

Source & updates

Figures sourced from HMRC published rates for 2024/25. Bands are reviewed each tax year on 6 April; this page is updated within 48 hours of any in-year change. Cross-check directly at gov.uk/income-tax-rates before any decision with material tax consequences.