Budget 2026: what it means for your take-home pay, Stamp Duty and ISAs
The Chancellor has confirmed that the Budget will be held on 28 October 2026. Below are the rules that apply right now, in the 2026 to 2027 tax year, taken from GOV.UK, with a calculator for each. We will update this page on 28 October with the announced changes.
What was announced
Budget day: 28 October 2026. Nothing has been announced yet. We will update this page on 28 October with the announced changes, each linked to the official Budget documents on GOV.UK, and say which of our calculators change and from when.
We do not report leaks, rumours or predictions. Everything on this page is either in force now or already confirmed by HM Treasury or HMRC.
Income Tax now (2026/27, England, Wales and Northern Ireland)
| Band | Taxable income | Rate |
|---|---|---|
| Personal Allowance | Up to £12,570 | 0% |
| Basic rate | £12,571 to £50,270 | 20% |
| Higher rate | £50,271 to £125,140 | 40% |
| Additional rate | Over £125,140 | 45% |
Your Personal Allowance goes down by £1 for every £2 of adjusted net income above £100,000, so it is zero from £125,140 (see the £100,000 tax trap). Scotland has its own bands: see Scottish Income Tax explained.
National Insurance now
Employees pay Class 1 National Insurance at 8% on earnings between £12,570 and £50,270 a year (£242 to £967 a week) and 2% above that.
Stamp Duty now (England and Northern Ireland)
| Portion of the price | SDLT rate |
|---|---|
| Up to £125,000 | 0% |
| £125,001 to £250,000 | 2% |
| £250,001 to £925,000 | 5% |
| £925,001 to £1.5 million | 10% |
| Above £1.5 million | 12% |
First-time buyers pay no SDLT up to £300,000 and 5% on the portion from £300,001 to £500,000; above £500,000 the relief cannot be claimed (see first-time buyer relief). You usually pay 5% on top of these rates if you will own more than one residential property, and non-UK residents usually pay a 2% surcharge. Scotland (LBTT) and Wales (Land Transaction Tax) have their own rates.
ISAs now
- Adult ISA allowance: £20,000 in the 2026 to 2027 tax year (ISA rules explained).
- Lifetime ISA: up to £4,000 a year (part of the £20,000), with a 25% government bonus of up to £1,000 a year.
- Junior ISA: up to £9,000 per child.
Savings, dividends and gains now
- Personal Savings Allowance: £1,000 of interest tax-free for basic rate taxpayers, £500 for higher rate, £0 for additional rate; the starting rate for savings can cover up to £5,000 more if your other income is low (savings interest tax calculator).
- Dividend allowance £500; dividends above it are taxed at 10.75%, 35.75% or 39.35% (UK dividend calculator).
- Capital Gains Tax allowance £3,000; gains are taxed at 18% within the basic rate band and 24% above it (Capital Gains Tax calculator).
Already confirmed for April 2027
These were announced before Budget 2026 and are not predictions:
- Cash ISA limit. HMRC's Tax-free savings newsletter 23 says that from 6 April 2027 the overall ISA limit stays at £20,000, and investors aged under 65 can put up to £12,000 of it into cash ISAs.
- Tax on savings interest. Budget 2025 said the savings basic, higher and additional rates of Income Tax will each rise by 2 percentage points, to 22%, 42% and 47%, from 6 April 2027.
After the Budget: what to re-check
Once the measures are published, the quickest way to see what they mean for you is to run your own numbers. We will update any calculator whose rules change, with the start date shown on the page.
- Take-home pay calculator — Income Tax, National Insurance, student loan and pension.
- Stamp Duty calculator — SDLT, LBTT and LTT.
- Stocks and Shares ISA calculator and Lifetime ISA calculator.
- Pension tax relief calculator.
- All UK calculators and UK money guides.
Frequently asked questions
When is Budget 2026?
The Chancellor has confirmed the Budget will be held on 28 October 2026. HM Treasury announced the date in a letter to the Treasury Select Committee published on GOV.UK.
Will my take-home pay change on Budget day?
Not because of anything on this page. Each Budget measure has its own start date, which the Budget documents set out. Until a change takes effect, the 2026/27 rules above still apply, and our calculators use them.
What changes are already confirmed for April 2027?
From 6 April 2027 the overall ISA limit stays at £20,000 but under-65s can put up to £12,000 of it into cash ISAs, and the savings rates of Income Tax rise by 2 percentage points to 22%, 42% and 47%. Both were announced before Budget 2026.
Do these figures apply in Scotland and Wales?
National Insurance and the ISA limits are UK-wide. Scotland sets its own Income Tax bands for earnings, and Scotland and Wales have their own property taxes (LBTT and Land Transaction Tax) instead of Stamp Duty Land Tax.
Sources
- HM Treasury — Chancellor letter to the Treasury Select Committee: Budget 2026 date — read 19 October 2026
- GOV.UK — Income Tax rates and Personal Allowances — read 18 October 2026
- GOV.UK — National Insurance: how much you pay — read 18 October 2026
- HMRC — Rates and thresholds for employers 2026 to 2027 — read 18 October 2026
- GOV.UK — Stamp Duty Land Tax: residential property rates — read 18 October 2026
- GOV.UK — Individual Savings Accounts — read 18 October 2026
- GOV.UK — Lifetime ISA — read 18 October 2026
- GOV.UK — Junior Individual Savings Accounts — read 18 October 2026
- GOV.UK — Tax on dividends — read 18 October 2026
- GOV.UK — Capital Gains Tax: rates and allowances — read 18 October 2026
- GOV.UK — Tax on savings interest — read 18 October 2026
- HMRC — Tax-free savings newsletter 23, September 2026 — read 18 October 2026
- HM Treasury — Budget 2025: overview of tax legislation and rates — read 18 October 2026
All rates and limits are quoted from the GOV.UK pages listed, as they read on the dates shown.
Prepared and reviewed by the Calcistry editorial team · Reviewed · Editorial policy
General information, not financial or tax advice. Rules and rates can change; check GOV.UK or the relevant tax authority for your own circumstances.