Dividends & income · Explainer
Dividend tax rates 2026/27: the £500 allowance, bands and worked examples
Dividends above a £500 allowance are taxed at 10.75%, 35.75% or 39.35% in 2026 to 2027, depending on your band. Budget 2026 left those rates unchanged for 2027 to 2028, while tax on savings interest rises to 24%, 44% and 49% from April 2027.
