True Take-Home

Scottish income tax vs England compared

Published 2026-08-29, checked against current rates 2026-08-28.

Scotland sets its own income tax rates and bands, and for 2026/27 it has 6 of them against 3 in England, Wales and Northern Ireland. Lower earners pay slightly less in Scotland; from around £33,494 they start paying more, and the gap widens quickly because the Scottish higher rate of 42% begins at a lower income than the English 40% one. On a £50,000 salary the difference is £1,496 a year, or £125 a month, in England's favour. Much of the bill is untouched. The personal allowance, National Insurance, student loan repayments and the tax on savings and dividends are identical across the UK. Rates checked 2026-08-28.

The Scottish calculator runs both rate sets side by side and shows the difference for your exact salary, pension and student loan.

Compare your own salary

The two band structures

Both are measured on income above the personal allowance of £12,570, which Westminster sets for the whole UK.

Scotland

Scottish income tax bands 2026/27
Starter rate19%
Basic rate20%
Intermediate rate21%
Higher rate42%
Advanced rate45%
Top rate48%

England, Wales and Northern Ireland

English income tax bands 2026/27
Basic rate20%
Higher rate40%
Additional rate45%

Wales can vary its rates through the Welsh Rates of Income Tax, but for 2026/27 it has set them to match England exactly, so a Welsh taxpayer pays the same as an English one. The C prefix on a Welsh tax code identifies the taxpayer, not a different bill.

What is the actual difference in pounds?

Take-home pay in Scotland compared with England, 2026/27
SalaryEngland take-homeScotland take-homeScotland difference
£20,000£17,920£17,959+£40
£30,000£25,120£25,155+£35
£40,000£32,320£32,255-£65
£50,000£39,520£38,024-£1,496
£70,000£51,157£49,207-£1,950
£100,000£68,557£65,257-£3,300
£150,000£91,286£85,355-£5,931

A positive figure means Scotland leaves you better off. The crossover sits at about £33,494: below it the starter rate of 19% makes Scotland marginally cheaper, above it the intermediate rate of 21% and then the 42% higher rate more than reverse the advantage.

What Scotland does not change

  • National Insurance. Set UK-wide, identical thresholds and rates. This is why the Scottish difference is smaller than the headline rates suggest: NI is a large deduction and it does not move.
  • The personal allowance. £12,570 everywhere, including the withdrawal above £100,000 covered in the personal allowance guide.
  • Savings and dividend income. Taxed at UK rates even for Scottish taxpayers. Only earnings, pensions and profits use the Scottish bands.
  • Student loans. The plans are national, though Scottish students typically hold Plan 4, which has the highest threshold of any undergraduate plan.

Am I a Scottish taxpayer?

It depends on where your main home is for most of the tax year, not on where your employer is based or where you work. Someone living in Berwick and commuting to Edinburgh pays English rates; someone living in Glasgow and working remotely for a London company pays Scottish ones. HMRC decides this from the address it holds for you, and signals it with an S at the front of your tax code, for example S1257L. If you move across the border, updating your address with HMRC is what changes the code, and doing it late is a common cause of a refund or an underpayment at the end of the year. You can decode any code, S prefix included, with the tax code checker.

Sources

Every figure on this page is computed from those tables at build time, checked 2026-08-28. If a number here ever disagrees with gov.uk, gov.uk is right and this is a bug worth telling us about. See our corrections policy.

Related guides

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