Taxes · United Kingdom · 2026/27 / 2025/26
Scottish income tax 2026/27: six bands against England
This article was created with artificial intelligence support.
Scottish taxpayers pay income tax in six bands, from 19 percent to 48 percent, while England, Wales and Northern Ireland use three. Up to £33,493 a Scottish taxpayer pays at most £40 a year less than someone in England; above that the gap widens with each band, to several thousand pounds on six-figure salaries. National Insurance is the same across the UK.
The six Scottish bands for 2026/27
The Scottish Parliament sets the rates and bands of income tax on earnings for anyone who counts as a Scottish taxpayer. The personal allowance is the UK-wide £12,570, withdrawn above £100,000 as elsewhere. Above it, 2026/27 has six bands: the starter rate of 19 percent up to £16,537, the basic rate of 20 percent up to £29,526, the intermediate rate of 21 percent up to £43,662, the higher rate of 42 percent up to £75,000, the advanced rate of 45 percent up to £125,140 and the top rate of 48 percent above that. These limits assume the full personal allowance.
England, Wales and Northern Ireland have three bands: 20 percent up to £50,270, 40 percent up to £125,140 and 45 percent above. For 2026/27 only the Scottish starter and basic limits moved, by £1,140 and £2,035. The intermediate, higher, advanced and top limits stayed where they were in 2025/26, and the rest of the UK kept every band frozen.
The higher starter and basic limits lower Scottish income tax for almost everyone above the allowance. Anyone earning more than £29,526 pays £32 a year less than on the same salary in 2025/26, and at £25,000 the gain is £11. Take-home pay in England, Wales and Northern Ireland did not change, so the gap to Scotland narrowed by the same amount.
Band by band: where Scotland and England part ways
On the first £3,967 above the allowance, the starter rate charges 19 pence in the pound where England charges 20, which saves a Scottish taxpayer up to £40 a year. The basic band matches England at 20 percent. From £29,527 the intermediate rate takes 1 penny more per pound, and at £33,493 it has used up the starter saving, so take-home pay is level there. At £35,000 a Scottish taxpayer keeps £15 less.
The large step comes at £43,663, where the Scottish higher rate of 42 percent begins while England stays at 20 percent until £50,270. In that range each extra pound loses 50% to income tax and National Insurance in Scotland against 28% in England. Above £50,270 the difference narrows to two points: 44% against 42%. From £75,001 the advanced rate of 45 percent faces England’s 40 percent, which makes 47% against 42%, and above £125,140 the top rate of 48 percent faces England’s 45 percent: 50% against 47%.
Take-home pay in England and Scotland, 2026/27
The first table puts the same salary through both schedules. Income tax, National Insurance and take-home pay are annual; the difference column shows Scottish take-home pay minus English, and the marginal rate is the share of the next £100 lost to income tax and National Insurance. At £50,000 the Scottish taxpayer keeps £1,496 less, and at £75,000 £2,050 less. The second table compares Scottish take-home pay under the 2025/26 and 2026/27 rates.
Example assumptions
Annual model estimate
Salary example for a tax resident. Eligibility and actual payment dates may differ.
Salary is the only income. Pension contributions, student loans, benefits in kind and savings income are not included.
The England figures also apply in Wales and Northern Ireland, which use the same rates in both years.
- Model year
- 2026/27 / 2025/26
- Currency
- GBP
- Region
- England / Scotland
- Age
- 35
- Children
- 0
| Annual gross salary | Scenario | Taxes | Employee contributions | Annual net pay | Net difference | Marginal rate, all deductions | Calculator |
|---|---|---|---|---|---|---|---|
| £25,000 | England, Wales and Northern Ireland | £2,486 | £994 | £21,520 | £0 | 28% | Open these settings |
| £25,000 | Scotland | £2,446 | £994 | £21,559 | +£40 | 28% | Open these settings |
| £33,493 | England, Wales and Northern Ireland | £4,185 | £1,674 | £27,635 | £0 | 28% | Open these settings |
| £33,493 | Scotland | £4,185 | £1,674 | £27,635 | £0 | 29% | Open these settings |
| £35,000 | England, Wales and Northern Ireland | £4,486 | £1,794 | £28,720 | £0 | 28% | Open these settings |
| £35,000 | Scotland | £4,501 | £1,794 | £28,705 | -£15 | 29% | Open these settings |
| £50,000 | England, Wales and Northern Ireland | £7,486 | £2,994 | £39,520 | £0 | 28% | Open these settings |
| £50,000 | Scotland | £8,982 | £2,994 | £38,024 | -£1,496 | 50% | Open these settings |
| £60,000 | England, Wales and Northern Ireland | £11,432 | £3,211 | £45,357 | £0 | 42% | Open these settings |
| £60,000 | Scotland | £13,182 | £3,211 | £43,607 | -£1,750 | 44% | Open these settings |
| £75,000 | England, Wales and Northern Ireland | £17,432 | £3,511 | £54,057 | £0 | 42% | Open these settings |
| £75,000 | Scotland | £19,482 | £3,511 | £52,007 | -£2,050 | 47% | Open these settings |
| £100,000 | England, Wales and Northern Ireland | £27,432 | £4,011 | £68,557 | £0 | 62% | Open these settings |
| £100,000 | Scotland | £30,732 | £4,011 | £65,257 | -£3,300 | 69.5% | Open these settings |
| £150,000 | England, Wales and Northern Ireland | £53,703 | £5,011 | £91,286 | £0 | 47% | Open these settings |
| £150,000 | Scotland | £59,634 | £5,011 | £85,355 | -£5,931 | 50% | Open these settings |
| Annual gross salary | Scenario | Taxes | Annual net pay | Net difference | Calculator |
|---|---|---|---|---|---|
| £25,000 | 2025/26 Scottish rates | £2,458 | £21,548 | £0 | Open these settings |
| £25,000 | 2026/27 Scottish rates | £2,446 | £21,559 | +£11 | Open these settings |
| £50,000 | 2025/26 Scottish rates | £9,014 | £37,992 | £0 | Open these settings |
| £50,000 | 2026/27 Scottish rates | £8,982 | £38,024 | +£32 | Open these settings |
| £100,000 | 2025/26 Scottish rates | £30,764 | £65,226 | £0 | Open these settings |
| £100,000 | 2026/27 Scottish rates | £30,732 | £65,257 | +£32 | Open these settings |
How other countries compare
For countries with a regional comparison in the calculator, the table shows how annual take-home pay changes from the first region to the second, as a percentage of take-home pay in the first region. Each country uses its own middle example salary and settings. The last column shows, for every country, the take-home share of this article’s example salary of £39,039 a year, converted into the local currency.
| Country | Regions compared | Take-home change between regions | Salary in local currency | Take-home share of the same salary |
|---|---|---|---|---|
| United States | California → Texas | +5.31% | $51,534 | 79% |
| United Kingdom | England → Scotland | -0.2% | £39,039 | 81% |
| Cyprus | – | No comparable rule | €45,910 | 79.5% |
| Germany | – | No comparable rule | €45,910 | 65.6% |
| Poland | – | No comparable rule | PLN 200,973 | 65.1% |
Converted at the exchange rates of 2 October 2026. Each country uses the calculator’s default profile and its latest enacted tax year. Living costs are not compared.
National Insurance stays the same
National Insurance is set for the whole UK. Employees pay 8 percent on earnings between £12,570 and £50,270 and 2 percent above, wherever they live, and employers pay 15 percent above £5,000. At £50,000 a Scottish and an English employee both pay £2,994, so every difference in the table comes from income tax. Because the Scottish higher rate starts below the point where the 8 percent rate ends, earnings from £43,663 to £50,270 already carry a 50 percent marginal rate in Scotland.
Between £100,000 and £125,140
Above £100,000 the personal allowance falls by £1 for every £2 of income and is gone at £125,140. Each extra pound in that range is taxed at the 45 percent advanced rate and also pulls 50 pence of allowance into tax at 45 percent. That makes 67.5 percent income tax, or 69.5 percent with National Insurance, against 62% in England. At £100,000 a Scottish taxpayer keeps £3,300 less than an English one, and at £150,000 the gap is £5,931. The article on the personal allowance taper explains the rule and how pension contributions reduce adjusted net income.
Who counts as a Scottish taxpayer
Scottish rates follow where you live. Under sections 80D and 80E of the Scotland Act 1998 you are a Scottish taxpayer for a tax year if you are UK resident and either your only UK home is in Scotland or, with more than one home, your main home is in Scotland for more of the year than anywhere else in the UK. The test looks at your home, so working for an employer based in England does not change it. If no main home can be identified, the days count: where you are at midnight decides where you spent that day.
HMRC says your main home is usually where you live and spend most of your time. It can be a home where you spend less time if that is where your possessions are, where your spouse or civil partner lives, or where you are registered with a bank, GP or car insurer. Status covers the whole tax year: if you move to Scotland and live there for more of the year than anywhere else in the UK, Scottish rates apply from 6 April of that year and HMRC backdates the change. Tell HMRC your new address when you move. A tax code starting with S means your pay is taxed at Scottish rates.
What the examples leave out
The examples cover salary only. Savings interest and dividends are taxed at the UK-wide rates even for Scottish taxpayers, so they do not follow the six bands. Pension contributions are left out too, although the calculator’s pension field can add them. A relief-at-source pension adds 20 percent relief for everyone, including starter-rate taxpayers who pay 19 percent. Taxpayers on the 21, 42, 45 and 48 percent rates can claim a further 1, 22, 25 or 28 percent through Self Assessment on contributions up to the income taxed at that rate.
To see your own figures, open the Scotland calculator at /en-gb/scotland, or choose Scotland as the region in the UK calculator, and compare the result with the same salary under the rates for England.
Before you compare Scottish and English pay
- Check which home counts as your main one, and that your tax code starts with S if it is in Scotland.
- Tell HMRC your new address in the tax year you move to or from Scotland.
- Run your salary through the Scotland calculator and the UK calculator with the same year and settings.
- Above £43,662, look up your marginal rate before weighing a pay rise or bonus.
- Claim pension relief above 20 percent through Self Assessment if you pay the intermediate rate or more.
See your own numbers
The articles use example figures. Enter your salary in the calculator to see your own result.
Sources and model coverage
What the estimate covers
The calculator estimates employment income using its supported country rules and selected inputs. Benefits, collective agreements and personal circumstances that are not modelled are excluded. Official rules determine your actual liability.
- Examples assume no pension contribution. The pension annual allowance and its taper are not modelled.
Official sources
- GOV.UK – Scottish Income Tax: current rates
- HMRC – Rates and thresholds for employers 2026 to 2027
- HMRC – Rates and thresholds for employers 2025 to 2026
- GOV.UK – Income Tax rates and Personal Allowances
- GOV.UK – National Insurance rates and category letters
- legislation.gov.uk – Scotland Act 1998, section 80D: Scottish taxpayers
- legislation.gov.uk – Scotland Act 1998, section 80E: close connection with Scotland
- GOV.UK – Scottish Income Tax: if you live in more than one home
- GOV.UK – Scottish Income Tax: if you move to or from Scotland
- GOV.UK – Tax codes: what your tax code means
- GOV.UK – Tax on your private pension: pension tax relief