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Money changes: what's new and what's coming

The UK rule changes that affect your pay, savings, student loan and pension, in date order. We update this page when something new is announced.

Last checked 13 October 2026By Ask Axel. How we check our facts

Short version: tax thresholds stay frozen until 2031, the cash ISA limit is due to fall for under-65s in April 2027, and from 2028 you'll have to wait until 57 to take money from a pension.

Already in force

  1. 6 April 2026

    New tax year

    • Income Tax and National Insurance thresholds stayed frozen. You can still earn £12,570 before paying Income Tax, and the higher rate still starts at £50,270 (Scotland has its own bands).
    • Tax on dividends rose by 2 percentage points, to 10.75% for basic-rate taxpayers and 35.75% for higher-rate taxpayers. Dividends inside an ISA or pension are still tax-free.
    • The full new State Pension rose to £241.30 a week.
    • The State Pension age started rising from 66 to 67.
    • Making Tax Digital for Income Tax began for sole traders and landlords with more than £50,000 a year of qualifying income.

    Read more: How to read your payslip The State Pension explained

  2. 1 May 2026

    Renting in England

    • Most private tenancies now roll on month to month instead of running for a fixed term.
    • Landlords can no longer use “no-fault” evictions, and rent can only go up once a year.

    Read more: Renting your first place

  3. 1 September 2026

    Student loan interest

    • Interest on Plan 2 and Plan 3 (postgraduate) loans is capped at 6% for the 2026/27 academic year, instead of RPI plus up to 3%.

    Read more: How student loan repayments work

Coming up

  1. 6 April 2027

    Savings, ISAs and student loans

    • If you're under 65, the most you can put into cash ISAs each year is due to drop from £20,000 to £12,000. The overall ISA allowance stays at £20,000, so the rest can still go into a stocks and shares ISA.
    • Tax on savings interest above your tax-free allowance is due to rise to 22% for basic-rate taxpayers, 42% for higher-rate and 47% for additional-rate.
    • The Plan 2 student loan repayment threshold (£29,385 in 2026/27) is due to stay at that level for three years, until April 2030, rather than rising with inflation.
    • Making Tax Digital for Income Tax is due to widen to people with more than £30,000 of qualifying income.

    Read more: Cash ISAs explained Cash ISA or savings account?

  2. 6 April 2028

    Pensions and side income

    • The earliest age you can usually take money from a personal or workplace pension is due to rise from 55 to 57.
    • The State Pension age is due to finish rising to 67.
    • Making Tax Digital for Income Tax is due to widen again, to people with more than £20,000 of qualifying income.

    Read more: Workplace pensions explained Side hustle tax

  3. 6 April 2029

    Salary sacrifice

    • Only the first £2,000 a year you put into a pension through salary sacrifice is due to stay free of National Insurance. Income Tax relief isn't affected.

    Read more: Salary sacrifice explained

  4. 5 April 2031

    Frozen tax thresholds

    • The Personal Allowance, the higher-rate threshold and the matching National Insurance thresholds are due to stay frozen until at least this date. As pay rises, more of it gets taxed.

    Read more: How does tax work?

  5. 2044 to 2046

    State Pension age

    • Under current law, the State Pension age rises from 67 to 68. The government has said it could happen sooner.

    Read more: The State Pension explained

Waiting for a decision

  1. Date not set

    Lifetime ISA

    • The government consulted on replacing the Lifetime ISA with a new First Time Buyer ISA. The consultation closed on 18 August 2026, and no decision has been announced yet. Until then, the current Lifetime ISA rules apply.

    Read more: Lifetime ISAs explained Saving for a house deposit

Common questions

Is the cash ISA limit changing?

Yes. From 6 April 2027, people under 65 are due to be limited to £12,000 a year in cash ISAs. The overall ISA allowance stays at £20,000.

When does the pension access age go up to 57?

On 6 April 2028. From then, most people won't be able to take money from a personal or workplace pension until 57.

Are Income Tax thresholds still frozen?

Yes. The Personal Allowance of £12,570 and the higher-rate threshold of £50,270 are due to stay frozen until 5 April 2031.

Is the Lifetime ISA being scrapped?

Not yet. The government has consulted on replacing it with a First Time Buyer ISA, but no decision has been announced. The current rules still apply.

Sources

Checked on 13 October 2026. Changes marked “due to” have been announced but could still change before they start.

General information, not personal financial advice. Read our full disclaimer.