Guide
The UK tax year explained
Why the tax year runs 6 April–5 April, and what 2026/27 changes.
Last updated 25 July 2026
What is a tax year?
A UK tax year — sometimes called a fiscal year — runs from 6 April in one year to 5 April the next. The current tax year is 2026/27, covering 6 April 2026 to 5 April 2027. Your Income Tax, National Insurance and allowances are all assessed across this period.
Each tax year you get a fresh set of allowances, starting with the Personal Allowance of £12,570 — the amount you can earn before paying any Income Tax.
Why does it start on 6 April?
The date is a historical quirk. When Britain switched from the Julian to the Gregorian calendar in 1752, eleven days were dropped, and the Treasury moved the start of its year to avoid losing tax revenue — eventually settling on 6 April. It has stayed there ever since.
What changes each year?
Some thresholds are frozen for several years at a time, while others — such as student loan repayment thresholds and the Scottish Income Tax bands — are reviewed annually. The Personal Allowance and the £50,270 higher-rate threshold are frozen until 5 April 2031, a freeze extended by three years at the Autumn Budget in November 2025. Because frozen allowances don't rise with inflation, more of your pay can fall into tax over time, an effect known as fiscal drag.
When you use the salary calculator you can switch between tax years to compare how the same salary is taxed in different years.
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Last reviewed by the TaxBreakdown team on 25 July 2026. A guide, not financial advice.
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