Income Tax: Northern Ireland
(asked on 2nd December 2025) - View Source
Question to the HM Treasury:
To ask His Majesty's Government what estimate they have made of (1) the number of additional people in Northern Ireland who will pay income tax due to the personal allowance threshold being frozen until 2031, and (2) the anticipated additional tax revenue for HM Treasury.
The number of people forecast to pay tax by marginal rate can be found in Table 3.19 in the OBR’s November 2025 Economic and Fiscal Outlook (EFO). This data reflects the decision made by the previous Government to maintain income tax thresholds at their current levels from April 2021 until April 2028.
3.19 Effect of personal tax threshold freezes on the number of taxpayers in each threshold (millions) [1]
| 2028-29 | 2029-30 | 2030-31 |
Number of taxpayers |
|
|
|
With indexation | 37.4 | 37.9 | 38.4 |
Without indexation | 42.1 | 42.9 | 43.5 |
…brought into income tax | 4.7 | 5.0 | 5.2 |
Number of higher-rate taxpayers |
|
|
|
With indexation | 4.1 | 4.2 | 4.2 |
Without indexation | 8.2 | 8.6 | 8.9 |
…brought into higher-rate band | 4.1 | 4.4 | 4.8 |
Number of additional-rate taxpayers |
|
|
|
Previous £150,000 threshold | 0.9 | 0.9 | 1.0 |
Aligned to the end of PA taper | 1.4 | 1.5 | 1.6 |
…brought into additional-rate band | 0.6 | 0.6 | 0.6 |
The latest yield of personal tax measures can be found in Table 3.18 in the OBR’s November 2025 EFO. As above, this data reflects the decision made by the previous Government to maintain income tax thresholds at their current levels from April 2021 until April 2028.
3.18 Latest yield of personal tax measures(£billions) [2]
| 2028-29 | 2029-30 | 2030-31 |
Changes to thresholds | 54.3 | 60.3 | 66.6 |