— Quick reference
UK pension & tax rates 2026/27
Every figure a paraplanner reaches for — the annual allowance and its taper, the MPAA, the lump sum allowances, the income-tax bands both sides of the border, NI, savings, dividends, the child-benefit charge and the childcare cliff. Read from the latest verified tax-year configuration, never hand-typed; a new year appears once its figures are verified.
Figures for the 2026/27 tax year (6 April 2026 to 5 April 2027), as at 13 July 2026. Every figure is read from the engine’s versioned 2026/27 configuration (2026-27-v1.16; its figures are verified against official sources, verification dated 2026-07-13) — the same constants the calculators compute against, so this reference cannot drift from a calculated result.
Also available as an embeddable card and machine-readable JSON.
| Standard annual allowance | £60,000 |
|---|---|
| Taper — threshold income gate | £200,000 |
| Taper — adjusted income gate | £260,000 |
| Taper — reduction | £1 for every £2of adjusted income over £260,000 |
| Tapered allowance floor | £10,000 |
| Money purchase annual allowance (MPAA) | £10,000 |
| Relief limit — basic amount | £3,600gross; relief is available on the greater of this and relevant UK earnings (relief-at-source schemes) |
| DB revaluation — prior-September CPI | 3.8%applied to the DB opening value (FA 2004 s.235) |
Source: PTM055100 · PTM057100 · PTM056510 · FA 2004 s.190 & s.235 · PTM053301PTM055100 · PTM057100 · PTM056510 · PTM053301 · Apply it: Annual allowance · Tapered AA · MPAA · Carry forward · DB input amount
Configuration 2026-27-v1.16; its figures are verified against official sources, verification dated 13 July 2026.
| Lump Sum Allowance (LSA) | £268,275 |
|---|---|
| Lump Sum & Death Benefit Allowance (LSDBA) | £1,073,100 |
| LSA / LSDBA — Fixed Protection 2012 | £450,000 / £1,800,000 |
| LSA / LSDBA — Fixed Protection 2014 | £375,000 / £1,500,000 |
| LSA / LSDBA — Fixed Protection 2016 | £312,500 / £1,250,000 |
Enhanced and primary protection carry their own transitional ceilings. ParaplanAI’s calculators do not calculate a lump sum for a member with enhanced protection. Nor do they calculate an uncrystallised funds pension lump sum for one with primary protection, or a primary protection pension commencement lump sum above the standard lump sum and death benefit allowance still available, and they stop where they cannot count a primary protection member’s benefits taken before 6 April 2024, for example when lump sum protection is also registered. Confirm those with the scheme administrator.
Source: FA 2024 Sch 9 · PTM171000 · PTM172000 · PTM174700PTM171000 · PTM172000 · PTM174700 · Apply it: LSA · LSDBA · TTFAC calculator
Configuration 2026-27-v1.16; its figures are verified against official sources, verification dated 13 July 2026.
| Personal allowance | £12,570 |
|---|---|
| Personal allowance — withdrawn from | £100,000£1 for every £2 of adjusted net income; nil at £125,140 |
| Basic rate — 20% | first £37,700of taxable income |
| Higher rate — 40% | £37,700 to £125,140 |
| Additional rate — 45% | over £125,140 |
Source: Finance Act 2026 s.3 (2026/27 default rates) · ITA 2007 s.10 & s.35 (rates, bands, personal-allowance withdrawal) · Apply it: Income tax · £100k tax trap · Adjusted net income
Configuration 2026-27-v1.16; its figures are verified against official sources, verification dated 13 July 2026.
| Personal allowance — 0% | first £12,570UK-wide; the bands below assume it in full |
|---|---|
| Starter rate — 19% | £12,571 to £16,537of income |
| Scottish basic rate — 20% | £16,538 to £29,526of income |
| Intermediate rate — 21% | £29,527 to £43,662of income |
| Higher rate — 42% | £43,663 to £75,000of income |
| Advanced rate — 45% | £75,001 to £125,140of income |
| Top rate — 48% | £125,141 and aboveof income |
Bands are shown as gross-income boundaries on gov.scot's published basis, assuming the full £12,570 personal allowance and no relief-at-source pension contributions or Gift Aid. Tax is charged on taxable income, so where the allowance is reduced (adjusted net income over £100,000) the top rate (from £125,141) does not move, because the allowance is already nil there, while the boundaries below it fall by the amount of the reduction. Relief-at-source pension contributions and Gift Aid extend the Scottish basic-rate band and every band above it, so the top rate starts higher by the grossed-up amount (FA 2004 s.192(4A); ITA 2007 s.414(2)). The taxable band widths behind these boundaries are published in the JSON dataset for this year.
Source: Scotland Act 2016 s.13; rates set by the Scottish Parliament (gov.scot). ITA 2007 s.35 (personal allowance). Savings, dividends, the personal allowance and its withdrawal are UK-wide.Savings, dividends, the personal allowance and its withdrawal are UK-wide. · Apply it: Income tax (Scottish taxpayer option) · £100k tax trap (Scottish taxpayer option)
Configuration 2026-27-v1.16; its figures are verified against official sources, verification dated 13 July 2026.
| Personal savings allowance (basic / higher / additional) | £1,000 / £500 / £0 |
|---|---|
| Starting rate for savings | 0% on up to £5,000eroded £1-for-£1 by non-savings taxable income |
| Dividend allowance | £500 |
| Dividend rates (ordinary / upper / additional) | 10.75% / 35.75% / 39.35% |
Inside top-slicing relief the personal allowance is recalculated at the annual-equivalent slice (FA 2020), and for gains from 6 April 2021 the PSA and starting rate for savings are recalculated there too (IPTM3820).
Source: Finance Act 2026 ss.3–4 (2026/27 savings rates; dividend ordinary and upper rates) · ITA 2007 s.12 & ss.12A–12B (starting rate, PSA) · ITA 2007 s.13A (dividend nil rate) · Apply it: Income tax · Top-slicing relief · Chargeable event gain
Configuration 2026-27-v1.16; its figures are verified against official sources, verification dated 13 July 2026.
| Employee — primary threshold | £12,570 |
|---|---|
| Employee — upper earnings limit | £50,270 |
| Employee — main / upper rate | 8% / 2% |
| Employer — secondary threshold | £5,000 |
| Employer — rate | 15% |
Source: SSCBA 1992 s.8 (employee) & s.9 (employer) · Apply it: Salary sacrifice
Configuration 2026-27-v1.16; its figures are verified against official sources, verification dated 13 July 2026.
| Child Benefit (weekly, first / additional child) | £27.05 / £17.90 |
|---|---|
| HICBC — starts at adjusted net income | £60,000 |
| HICBC — clawback | 1% per £200of adjusted net income over £60,000; full charge at £80,000 |
Source: ITEPA 2003 s.681B–681H · SSCBA 1992 s.141 · Apply it: HICBC · Adjusted net income
Configuration 2026-27-v1.16; its figures are verified against official sources, verification dated 13 July 2026.
| Tax-Free Childcare — annual cap (per child / disabled child) | £2,000 / £4,000 |
|---|---|
| Eligibility cliff — adjusted net income | £100,000if either parent expects ANI above this, the household does not qualify for Tax-Free Childcare or England’s working-parent entitlement |
Tax-Free Childcare is a top-up on eligible spend, up to the cap. Funded-hours eligibility and value vary by age, UK nation, provider and entitlement period; England’s universal 15 hours for 3- and 4-year-olds are separate.
Source: Childcare Payments Act 2014 s.1 & Childcare Act 2016 (funded hours) · Apply it: £100k tax trap
Configuration 2026-27-v1.16; its figures are verified against official sources, verification dated 13 July 2026.
| Trust rate | 45% |
|---|---|
| Trust dividend rate | 39.35% |
Source: ITA 2007 s.9 & s.479 · Apply it: Onshore bond tax · Offshore bond tax
Configuration 2026-27-v1.16; its figures are verified against official sources, verification dated 13 July 2026.
| CGT annual exempt amount | £3,000 |
|---|---|
| CGT rates (basic / higher) | 18% / 24% |
| ISA annual subscription limit | £20,000 |
ParaplanAI has no stand-alone CGT calculator; the signed-in wrapper tax comparison uses these rates for the general investment account.
Source: TCGA 1992 s.1K & s.1H · ITTOIA 2005 s.694 (ISA regulations) · Apply it: Pension vs ISA (ISA limit only)
Configuration 2026-27-v1.16; its figures are verified against official sources, verification dated 13 July 2026.
Need the number, not just the rate?
The free calculators apply these figures — carry-forward, the taper, the MPAA, top-slicing with the post-2021 PSA recalculation — and show the full working, ready for the client file.
Open the free calculatorsQuestions
- What is the pension annual allowance for 2026/27?
- £60,000 as standard. It can taper for high earners. Flexibly accessing defined-contribution benefits normally triggers the money purchase annual allowance for money-purchase inputs and changes how other pension inputs are tested — the exact gates and limits are in the table above.
- Where do these figures come from?
- Every figure is read from the engine's versioned 2026/27 tax-year configuration (2026-27-v1.16; its figures are verified against official sources, verification dated 2026-07-13) — the same constants ParaplanAI's calculators compute against. The table cannot drift from a calculated result, and it refreshes automatically when the new tax year's config is published.
- Can I use these rates on my own site?
- Yes — there is a free embeddable rates card, updated for each new tax year once its figures are verified, and a machine-readable JSON version of every year. Both are linked on this page and carry a simple attribution.
- Do you have the figures for earlier tax years?
- Yes — every year back to 2020/21 has its own page, and the history tables track the annual allowance, MPAA, taper gates and lifetime allowance across years.
For planning and illustration purposes only. Verify all inputs against source documents. This reference does not constitute financial or tax advice. Figures from configuration 2026-27-v1.16; its figures are verified against official sources, verification dated 2026-07-13.