UK Tax Year 2022/2023 breakdown
§ A · England, Wales & Northern Ireland
Income tax bands & thresholds
| Band | Income range | Rate |
|---|---|---|
| Personal Allowance | £0 – £12,570 | 0% |
| Basic rate | £12,570 – £50,270 | 20% |
| Higher rate | £50,270 – £150,000 | 40% |
| Additional rate | Over £150,000 | 45% |
§ B · Scotland
Scottish income tax bands
| Band | Income range | Rate |
|---|---|---|
| Personal Allowance | £0 – £12,570 | 0% |
| Starter rate | £12,570 – £14,732 | 19% |
| Basic rate | £14,732 – £25,688 | 20% |
| Intermediate rate | £25,688 – £43,662 | 21% |
| Higher rate | £43,662 – £150,000 | 41% |
| Advanced rate | £150,000 – £150,000 | 41% |
| Top rate | Over £150,000 | 46% |
§ C · Class 1 employee
National Insurance tiers
| Band | Earnings slice | Rate |
|---|---|---|
| Below Primary Threshold | £0 – £11,908 | 0% |
| Main rate (PT → UEL) | £11,908 – £50,270 | 12.7% |
| Upper rate (above UEL) | Over £50,270 | 2.7% |
2022/23 — The £150,000 Additional Rate Year
The 2022/23 fiscal year is the last one in which the Additional Rate of income tax began at £150,000. From 2023/24 onwards that threshold collapsed to £125,140, so any backdated calculation, amended return or P60 reconciliation touching 2022/23 must use the older, higher boundary. The Personal Allowance (£12,570), basic-rate band (£37,700) and higher-rate threshold (£50,270) were all already frozen at the levels they would hold for years afterwards.
The National Insurance rollercoaster
National Insurance moved three times inside this single year, which is why the structured rows on this page show annualised blended figures rather than a single clean rate:
- April 2022: Class 1 employee NICs rose by 1.25 percentage points to 13.25% to fund the new Health & Social Care Levy, while the Primary Threshold still sat at £9,880.
- July 2022: the Primary Threshold jumped to £12,570 to align with the Personal Allowance, taking many lower earners out of NICs entirely. Annualised across the year the threshold works out at roughly £11,908.
- November 2022: the 1.25pp Levy was reversed, dropping the main rate back to 12% (and the rate above the Upper Earnings Limit from 3.25% back to 2%).
The blended main rate used here (≈12.73%) is a year-average of those sub-periods. For exact period-by-period payroll figures you should reference the specific pay date against the rate in force at the time.
Investment allowances — pre-collapse levels
2022/23 still carried the larger investment shields that were sharply cut in later years:
- The Dividend Allowance stood at £2,000 (halved to £1,000 in 2023/24, then £500 in 2024/25).
- The Capital Gains Tax Annual Exempt Amount was £12,300 (cut to £6,000, then £3,000 in the following years).
- The standard ISA subscription limit remained £20,000.
Scotland — the pre-Advanced five-band system
Scotland ran a five-band progressive structure in 2022/23: Starter (19%), Basic (20%), Intermediate (21%), Higher (41%) and Top (46%). The 45% Advanced Rate that would later wedge in between Higher and Top did not exist yet, and the Top rate applied above £150,000, in line with the rUK Additional Rate boundary for that year.
Contextual Routing Record
This route is part of taxyear.uk’s per-year compliance archive. The data rows above are generated from the unified calculation core keyed to the 2022-2023 signature. To model live take-home pay against the current ruleset — with workplace pensions, student loans and salary sacrifice layered in — open the salary calculator on SalaryGrid.uk.
§ D · Common questions
2022/2023 tax year FAQ
- What are the income tax brackets for the 2022/2023 tax year?
- For England, Wales and Northern Ireland in 2022/2023, the first £12,570 is the tax-free Personal Allowance. The 20% basic rate then applies up to £50,270, the 40% higher rate up to £150,000, and the 45% additional rate on income above that. Scotland sets its own banded rates — see the Scottish table above.
- What is the Personal Allowance for 2022/2023?
- The 2022/2023 Personal Allowance is £12,570. It is reduced by £1 for every £2 of income above £100,000, so it is fully withdrawn once income reaches £125,140.
- What are the National Insurance rates for 2022/2023?
- In 2022/2023, Class 1 employee National Insurance is charged at 12.73% on earnings between the Primary Threshold (£11,908) and the Upper Earnings Limit (£50,270), then 2.73% on earnings above the Upper Earnings Limit. National Insurance changed mid-year, so these are annualised blended figures — see the breakdown above for the exact sub-periods.
- When does the 2022/2023 UK tax year start and end?
- The 2022/2023 UK tax year runs from 6 April 2022 to 5 April 2023.
Model pensions, student loans and salary sacrifice against this year's bands
The sidebar covers the core PA + IT + NI math. SalaryGrid's full grid layers in workplace pensions, custom tax codes, marriage allowance and the 60% trap optimiser — all running against the 2022/2023 ruleset.