March 2011 - UK Budget Summary 2011

- New Measures Announced

Personal Taxes - Income tax rates and allowances

From 6 April 2012, the personal allowance for individuals aged under 65 will increase by £630 to £8,105, reducing the tax payable by basic rate paying taxpayers by £126 per annum.

For higher rate taxpayers, there will be a corresponding reduction in the basic rate threshold. However, unlike in 2011/12, the reduction does not cancel out the benefit of the increased personal allowance. Accordingly, higher rate taxpayers will also be £126 per annum better off due to the changes in allowances and rate bands...