What changed in April 2026: tax, student loans, pay and benefits
The 2026/27 tax year began on 6 April 2026. Here is what changed, what stayed the same, and where to check what it means for your pay.
What stayed the same
For England, Wales and Northern Ireland the main thresholds did not move: the Personal Allowance is still £12,570, the higher rate still starts at £50,270, and the National Insurance thresholds are unchanged. Because wages generally rise, more of a pay rise is taxed, which is sometimes called fiscal drag. Our tax year comparison shows the effect on your own pay.
Scottish income tax bands
| Band | 2025/26 upper limit | 2026/27 upper limit |
|---|---|---|
| Starter rate (19%) | £15,397 | £16,537 |
| Basic rate (20%) | £27,491 | £29,526 |
The starter and basic rate bands were widened in 2026/27, which gives a small saving to Scottish taxpayers. Higher bands are unchanged. See all the rates.
Student loan repayment thresholds
| Loan | 2025/26 threshold | 2026/27 threshold |
|---|---|---|
| Plan 1 | £26,065 | £26,900 |
| Plan 2 | £28,470 | £29,385 |
| Plan 4 (Scotland) | £32,745 | £33,795 |
| Plan 5 | No repayments yet | £25,000 |
Plan 5 loans, for people who started an undergraduate course in England from August 2023, begin repayments from April 2026. Read how student loan repayments work.
Pay, leave and pensions
| Rate | 2026/27 |
|---|---|
| National Living Wage (21 and over) | £12.71 an hour |
| Minimum wage, age 18 to 20 | £10.85 an hour |
| Statutory Sick Pay | £123.25 a week |
| Statutory maternity and paternity pay | £194.32 a week |
| Full new State Pension | £241.30 a week |
NHS and teacher pay
NHS Agenda for Change pay scales for England were updated from 1 April 2026, and teachers in England are recommended a 3.5% rise from 1 September 2026. See the NHS pay scales and teacher pay scales, each with take-home pay.
Sources: GOV.UK income tax rates, NHS Employers and the School Teachers’ Review Body.
Frequently asked questions
Did the Personal Allowance change in April 2026?
No. It stays at £12,570 for England, Wales and Northern Ireland, and so do the higher-rate threshold and National Insurance thresholds.
What is the National Living Wage in 2026/27?
£12.71 an hour for workers aged 21 and over.
Figures are for the 2026/27 tax year from official sources and are estimates for guidance only, not financial or legal advice. Printed from ukanswers.co.uk.