Welsh Income Tax Explained (2025/2026)
Is Income Tax different in Wales?
The Welsh Government has the power to set the Welsh Rates of Income Tax (WRIT). However, for the 2025/2026 tax year, the rates have been kept in line with England and Northern Ireland. This means you pay the same amount of tax as you would in London or Manchester.
The 'C' Tax Code
If you live in Wales, your tax code usually starts with the letter 'C' (for Cymru). For most employees, the standard code is C1257L. This signifies that you are a Welsh taxpayer, even if the rates currently match the rest of the UK.
Tax Bands in Wales
| Band | Income Range | Tax Rate |
|---|---|---|
| Personal Allowance | £0 – £12,570 | 0% |
| Basic Rate | £12,571 – £50,270 | 20% |
| Higher Rate | £50,271 – £125,140 | 40% |
| Additional Rate | Over £125,140 | 45% |