Published on Finance Division (https://www.finance.admin.cam.ac.uk)

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Tax rates and bands

The 2025-26 tax rates are:

UK-wide tax allowances (UK)

  • Basic rate 20% on annual earnings above the PAYE threshold and up to £37,700
  • Higher rate 40% over £37,701 to £125,140
  • Additional rate 45% over £125,140 and above

Rates for Scotland (S Prefix)

  • Starter Rate 19% on annual earnings above £1 - £2,827
  • Basic Rate 20% over £2,828 - £14,921
  • Intermediate rate 21% over £14,922 - £31,092
  • Higher rate 42% over - £31,093 - £62,430
  • Advanced Tax rate 45% over £62,431 - £125,140
  • Top up rate 48% - over £125,140

Rates for Wales (C Prefix)

  • Basic rate 20% on annual earnings above the PAYE threshold and up to £37,700
  • Higher rate 40% over £37,701 to £125,140
  • Additional rate 45% over £125,140 and above

Source URL:https://www.finance.admin.cam.ac.uk/payroll/tax-rates-and-bands