1.1 Income tax rates and thresholds
Income tax rates and thresholds will remain at their 2013/14
levels in 2014/15, except as noted below. All thresholds are set
out in the appendix.
The personal allowance for those born after 5 April 1948 will
increase to £10,000 from 6 April 2014, while the higher rate
band will decrease to £31,865. The National Insurance
contributions (NIC) upper earnings and upper profits limits will be
increased in line with the higher rate threshold which will be
£41,865.
From 6 April 2015, the personal allowance will increase by
£500 to £10,500 while the higher rate band will
decrease by £100 to £31,785.
From 2016/17, the personal allowance will be increased with
reference to the consumer price index.
