Scope: United Kingdom
Status requires verification
Finance Act 2026: Freezing the personal allowance and basic rate limit for tax years 2026-27 to 2030-31
The Finance Act 2026 enacts that the UK starting rate limit for savings, the basic rate limit and the personal allowance will all be **frozen** at their 2026-27 levels for **tax years 2026-27 through 2030-31.** This means these thresholds will not uprate with inflation during that period, increasing the likelihood that taxpayers may move into higher tax brackets over time due to nominal income growth.
Editorial impact label: High
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Increase in CGT rates for Business Asset Disposal Relief and Investors’ Relief
Business Asset Disposal Relief and Investors’ Relief rates increased from 10% to 14% from 6 April 2025, and then to 18% from 6 April 2026. Anti-forestalling rules prevent structuring transactions purely to access lower rates. Investors’ Relief qualifying lifetime limit also reduced. These changes affect disposals of qualifying business assets and shares for individuals and trustees.
Editorial impact label: Medium
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: Global
Proposed
Aligning PAYE notifications with the Overseas Workday Relief limit
From 6 April 2026, UK legislation will require employers submitting PAYE Section 690 notifications (for qualifying new resident employees eligible for Overseas Workday Relief) to ensure any income excluded from PAYE does not exceed **30%** of total employment income. This aligns in-year relief via payroll with Self Assessment relief limits.
Editorial impact label: Medium
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Budget 2025 reforms to dividend, capital gains, and wealth-linked taxes
Budget 2025 introduced several significant changes effective from 6 April 2026 (and in some cases 2027): dividend tax rates for ordinary and upper bands increase by 2 percentage points; Business Asset Disposal Relief and Investors’ Relief rates rise to match the main lower rate at 18%; agricultural and business property reliefs are reformed; income from property, dividends, and savings will face higher rates; and changes to inheritance tax relief transferability are introduced.
Editorial impact label: High
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Changes to tax rates for property, savings & dividend income set for tax years from April 2026-27 and 2027-28
As announced in Budget 2025, dividend ordinary and upper rates will increase by 2 percentage points from 6 April 2026. Separate rates for property income will be introduced from 6 April 2027, with basic rate 22%, higher rate 42%, and additional rate 47%. Savings income rates will also increase from April 2027. The ordering of allowances and reliefs will also change to apply to non-property/non-savings/non-dividend income first. ([gov.uk](https://www.gov.uk/government/publications/income-tax-changes-to-tax-rates-for-property-savings-and-dividend-income?utm_source=openai))
Editorial impact label: High
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Changes to agricultural property relief and business property relief
The UK government has reformed Agricultural Property Relief (APR) and Business Property Relief (BPR) under Inheritance Tax. From 6 April 2026, estates will only get 100% relief for the first £2.5 million of qualifying agricultural or business property; amounts above that will receive 50% relief. The threshold is transferable between spouses or civil partners, allowing up to £5 million between partners. These changes protect smaller estates but increase IHT exposure for larger ones.
Editorial impact label: High
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Construction Industry Scheme: tackling fraud measure
Legislation in Finance Bill 2025-26 will strengthen HMRC’s powers under the Construction Industry Scheme (CIS) from **6 April 2026**. If a business makes or receives payments they knew (or should have known) were connected to fraud, HMRC can immediately remove Gross Payment Status (GPS), assess the tax lost, and charge penalties up to 30%. Nil filing obligations are reinstated for certain contractors, and payments to specified public bodies may be exempted. This is meant to reduce fraud and non-compliance in the CIS.
Editorial impact label: Medium
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Voluntary National Insurance contributions for periods abroad from April 2026
From 6 April 2026, individuals will **no longer be able to pay voluntary Class 2 National Insurance contributions** for time spent abroad. Only voluntary Class 3 contributions will be permitted. New eligibility for Class 3 overseas applications requires either 10 continuous years living in the UK or 10 qualifying years of UK National Insurance contributions. These changes are primarily aimed at ensuring people building a State Pension from outside the UK have a sufficient connection (link) to the UK. The policy includes transitional arrangements: for those who currently pay Class 2 abroad, HMRC will write to them from July 2026. Direct Debit payments should not be canceled; the final Class 2 payment for 2025-26 will be collected in July 2026. Applies to tax years 2026-27 onwards.
Editorial impact label: Medium
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Change to tax rates for property, savings and dividend income (Technical Note)
New income tax rates for estates on property, savings and dividend income: dividend rates fall to **10.75%** from 6 April 2026; property and savings income (for estates) set at **22%** from 6 April 2027. Other income remains taxed at existing rates. These changes will affect how estates compute income tax and may influence planning for rental income, savings and dividends.
Editorial impact label: Medium
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Proposed
Entrepreneurs’ tax reliefs: proposed expansion of EMI, EIS, VCT thresholds and investment limits from April 2026
The UK government’s ‘Tax Support for Entrepreneurs: Call for Evidence’ includes proposals to substantially raise eligibility thresholds so that from April 2026, the EMI gross assets test will increase from £30m to £120m, employee limit from 250 to 500, share option limit to £6m. EIS and VCT company investment limits also are proposed to double, with enhanced limits for knowledge-intensive companies. These changes aim to encourage investment in scaling businesses and startups. Final details await legislation through the 2026 finance bill.
Editorial impact label: Medium
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Statutory Sick Pay Changes from Employment Rights Act 2025
From 6 April 2026, under the Employment Rights Act 2025, Statutory Sick Pay (SSP) eligibility in the UK will change—removal of the Lower Earnings Limit and elimination of the three-day waiting period. Eligible employees will receive SSP from the first full day of sickness, paid at **80% of average weekly earnings** or the flat rate (whichever is lower). These changes widen access, especially benefiting low-income workers. Employers must update payroll systems, signage and policies accordingly. ([gov.uk](https://www.gov.uk/government/publications/employer-bulletin-february-2026/february-2026-issue-of-the-employer-bulletin?utm_source=openai))
Editorial impact label: High
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Budget 2025 — Expansion of workplace benefits reliefs and removal of non-reimbursed homeworking expense reliefs
From 6 April 2026, employer-provided eye tests, home working equipment, and flu vaccinations will be exempt from Income Tax and NI; relief for non-reimbursed homeworking expenses will be removed. Intended to simplify benefit rules and reduce administrative burden.
Editorial impact label: Medium
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Tax Support for Entrepreneurs: Call for Evidence
Budget 2025 expands EMI, EIS and VCT schemes from April 2026: higher gross asset tests, employee and investment limits; VCT upfront Income Tax relief reduced from 30% to 20%. Aims to support founders, scaling companies, balancing reliefs between EIS and VCT schemes.
Editorial impact label: Medium
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Abolition of the notional tax credit on dividends received by non-UK residents
Non-UK residents with UK dividend income plus UK rental or partnership income will no longer receive the notional tax credit; this aligns with UK residents and takes effect for distributions on or after 6 April 2026. Impacts fewer than 1,000 individuals annually and is expected to have a negligible revenue impact.
Editorial impact label: Low
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: Global (United Kingdom)
Status requires verification
Voluntary National Insurance contributions abroad changes
From April 2026 the UK will remove the option to pay voluntary Class 2 National Insurance contributions for periods abroad. New applications for class 3 contributions will require at least **10 years’ continuous UK residence** or 10 qualifying National Insurance years. These changes limit social security coverage and entitlement for expatriates and long-term overseas UK workers.
Editorial impact label: Medium
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Approved Mileage Allowance Payments (MAPs) rates updated for 2026-27
Mileage Allowance Payment rates have increased to **55p per mile for first 10,000 business miles**, and remain at **25p thereafter** for the 2026-27 tax year. The National Insurance contributions disregard for Relevant Motoring Expenses similarly increased to 55p. These changes are back-dated to 6 April 2026.
Editorial impact label: Medium
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
436,000 sole traders and landlords make their tax digital
From April 2026, sole traders and landlords with self-employment or property income over £50,000 are required to keep digital records and send **Making Tax Digital for Income Tax** quarterly updates. The first update period ran from 6 April to 5 July 2026 (or equivalent calendar quarter), with deadline of 7 August 2026. No penalty points for late quarterly updates during tax year 2026-27; threshold will drop to £30,000 from April 2027.
Editorial impact label: High
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Overview of tax legislation and rates (Budget 2025) - GOV.UK
The UK Budget 2025 introduces significant changes, including increased tax rates on property, savings, and dividend income, reforms to business rates (notably high-value rates for properties over £500,000), expanded reliefs for workplace benefits (eye tests, home-working equipment, flu vaccinations) effective 6 April 2026, and stricter requirements for tax adviser registration with enhanced powers to sanction non-compliance. These measures affect how entities are set up, how digital nomads are taxed, and compliance obligations for businesses.
Editorial impact label: High
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: Global
Status requires verification
New student loan repayment threshold Plan 5 (UK)
From 6 April 2026 the new student loan Plan 5 enters repayment, with a threshold of £25,000 and repayment rate of 9% (earnings above the threshold). Employers will receive start notices beginning March 2026 for borrowers due under Plan 5. The plan is collected under PAYE like existing Plans. This changes employer obligations and payroll withholding.([gov.uk](https://www.gov.uk/government/publications/employer-bulletin-february-2026/february-2026-issue-of-the-employer-bulletin?utm_source=openai))
Editorial impact label: Low
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source
Scope: United Kingdom
Status requires verification
Remove access to Class 2 National Insurance contributions abroad and increase requirement for Class 3 NICs for individuals abroad
From 6 April 2026, the UK government will remove the option for individuals abroad to pay voluntary Class 2 National Insurance contributions; in addition, eligibility to pay voluntary Class 3 contributions while abroad will be tightened, requiring individuals to have at least 10 years’ residency or contribution history. The measure aims to ensure stronger UK connection for those building State Pension entitlement from outside the country and to close loopholes in existing voluntary contributions rules.
Editorial impact label: Medium
- Published
- Not recorded
- Policy event
- Not recorded
- Effective
- Apr 6, 2026
- Verification
- Not recorded
Open cited source