Below are some of the changes for the 2022/23 tax year. If you'd like to view legislation changes for the 2023/2024 tax year, visit our separate guide legislation changes for the 2023/2024 tax year > PAYETax code changesThe emergency tax code for the 2022/23 tax year remains at 1257L, and there are no uplifts in tax codes. The tables below show the bandwidths for the rest of the UK, Scotland and Wales. UK Bandwidths & Rates | From (£) | To (£) | Rate (%) | Band | | 0.01 | 37,700.00 | 20 | Basic rate | | 37,700.01 | 150,000.00 | 40 | Higher rate | | 150,000.01 | excess | 45 | Additional rate | Scottish Bandwidths & Rates | From (£) | To (£) | Rate (%) | Band | | 0.01 | 2,162 | 19 | Starter rate | | 2,162.01 | 13,118 | 20 | Basic rate | | 13,118.01 | 31,092 | 21 | Intermediate rate | | 31,092.01 | 150,000 | 41 | Higher rate | | 150,000.01 | excess | 46 | Top rate | Welsh Bandwidths & Rates | From (£) | To (£) | Rate (%) | Band | | 0.01 | 37,700 | 20 | Basic rate | | 37,700.01 | 150,000 | 40 | Higher rate | | 150,000.01 | excess | 45 | Additional rate | Tax relief for childcare | | Basic Rate (£) | High Rate (£) | Higher Rate (£) | | Weekly | 55.00 | 28.00 | 25.00 | | Monthly | 243.00 | 124.00 | 110.00 | | Annually | 2915.00 | 1484.00 | 1325.00 |
National InsuranceFor informaion about the changes to National Insurance coming into effect from 6 July 2022, read our handy guide > Earnings bands | | Weekly (£) | Monthly (£) | Yearly (£) | | Lower Earnings Limit (LEL) | 123.00 | 533.00 | 6,369.00 | | Primary Threshold (PT) | 190.00 | 823.00 | 9,880.00 | | Secondary Threshold (ST) | 175.00 | 758.00 | 9,100.00 | | Freeports Upper Secondary Threshold (FUST) | 481.00 | 2083.00 | 25,000.00 | | Veterans Upper secondard Threshold (VUST) | 967.00 | 4189.00 | 50,270.00 | | Upper Earnings Limit (UEL) | 967.00 | 4189.00 | 50,270.00 | | Upper Secondary Threshold (UST) | 967.00 | 4189.00 | 50,270.00 | | Apprentice Upper Secondary Threshold (AUST) | 967.00 | 4189.00 | 50,270.00 | NI Category A Rates For all Class 1 National Insurance category rates, visit this guide > | | Employee Rate (%) | Employer Rate (%) | | LEL up to ST | 0.00 | 0.00 | | St to PT | 0.00 | 15.05 | | PT to ST | 13.25 | 15.05 | | ST up to UEL/UST/AUST | 13.25 | 15.05 | | Excess of UEL/UST/AUST | 3.25 | 15.05 |
Statutory paymentsThe Statutory payments rates will be changing from 6 April 2022. Statutory sick payEmployees on weekly earnings greater than or equal to the Lower Earnings Limit are entitled to a statutory weekly rate of £99.35 from 6 April 2022. New statutory sick pay rates: | Unrounded daily rates | Number of working days in week | 1 day to pay | 2 days to pay | 3 days to pay | 4 days to pay | 5 days to pay | 6 days to pay | 7 days to pay | | £14.1929 | 7 | £14.20 | £28.39 | £42.58 | £56.78 | £70.97 | £85.16 | £99.35 | | £16.5583 | 6 | £16.56 | £33.12 | £49.68 | £66.24 | £82.80 | £99.35 | | | £19.87 | 5 | £19.87 | £39.47 | £59.61 | £79.48 | £99.35 | | | | £24.8375 | 4 | £24.84 | £49.68 | £74.52 | £99.35 | | | | | £33.1167 | 3 | £33.12 | £66.24 | £99.35 | | | | | | £49.675 | 2 | £49.68 | £99.35 | | | | | | | £99.35 | 1 | £99.35 | | | | | | | Parental pay and leaveThe rates below come into effect from the first Sunday in April. New Parental pay and leave rates: | Payment | Higher rate % | The standard rate is the lesser of | | £ | % | | Statutory Maternity Pay | 90.00 | 156.66 | 90.00 | | Statutory Adoption Pay | 90.00 | 156.66 | 90.00 | | Statutory Paternity Pay | N/A | 156.66 | 90.00 | | Shared Parental Pay | N/A | 156.66 | 90.00 | | Parental bereavement | N/A | 156.66 | 90.00 |
Student loansWhen you set up a student loan deduction for an employee, you must specify whether they're on Plan 1, Plan 2 or Plan 4. | Type | Weekly £ | Monthly £ | Annual £ | Rate % | | Plan Type 1 | 388.36 | 1,682.91 | 20,195.00 | 9.00 | | Plan Type 2 | 524.00 | 2,274.58 | 27,295.00 | 9.00 | | Plan Type 4 | 487.98 | 2,114.58 | 25,375.00 | 9.00 | Postgraduate loans Postgraduate loans rates are staying the same in the 2022/2023 tax year. | Type | Weekly £ | Monthly £ | Annual £ | Rate % | | Standard | 403.84 | 1,750.00 | 21,000.00 | 6.00 |
Employment allowance For the 2022/23 tax year, Employment allowance is £5,000.
National minimum / living wage rates The following rates are effective from 1 April 2022. | Age | Hourly Rate (£) | | 23 and older | 9.50 | | 21 - 22 | 9.18 | | 18 - 20 | 6.83 | | 16 - 17 | 4.81 | | Apprenticeship | Read more > |
Apprenticeship Levy The Apprenticeship Levy Allowance is set to £15,000. The Apprenticeship Levy Rate is set to 0.5% [BCB:191:UKI - #GetMoreFeedback:ECB] |