Spring Statement 2026

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The Chancellor held the Spring Statement on 3 March 2026. The government has been keen to have only one tax event per year (the Budget) and so the Spring Statement was intended to provide an interim update on the economy and public finances.

Some key highlights include:

  • The basic rate band remains at £37,700, with the higher rate threshold remaining at £50,270. The additional rate threshold remains at £125,140.
  • The government is introducing the following separate tax rates for property income from 2027/28:
    • 22% for basic rate taxpayers
    • 42% for higher rate taxpayers
    • 47% for additional rate taxpayers
  • The Income Tax personal allowance is fixed at the current level of £12,570 and will remain frozen until April 2031.
  • For 2026/27 the rates of Class 1 employee NICs are 8% and 2%. The employer rate is 15%.

For full details of the budget, please use the following link:  https://files.mercia-group.com/SS26/PDF/Wettone_Matthews_(W-6213797)_Mar26.pdf