What is Marriage Allowance?
Transfer £1,260 of your Personal Allowance to your spouse or civil partner to save up to £252 per year.
Key Facts
- ✓ Transfer £1,260 of Personal Allowance to spouse/civil partner
- ✓ Saves up to £252 per year in tax
- ✓ Transferor must earn less than £12,570
- ✓ Recipient must be a basic rate taxpayer
- ✓ Can backdate up to 4 tax years
- ✓ Not available to higher or additional rate taxpayers
Current Rates (2025/26)
- ▸ Transfer amount: £1,260
- ▸ Maximum saving: £252 per year
- ▸ Backdatable: up to 4 years
Explanation
Marriage Allowance allows one spouse or civil partner to transfer £1,260 of their Personal Allowance to the other, reducing the recipient's tax bill by up to £252 per year (20% of £1,260). To be eligible, the person transferring must earn less than £12,570 (i.e. they do not use their full Personal Allowance), and the recipient must be a basic rate taxpayer earning no more than £50,270 (or £43,662 in Scotland). The transferor's Personal Allowance is reduced to £11,310, while the recipient gains a tax reduction of £252. Marriage Allowance is not available if either partner pays higher or additional rate tax. You can claim online through HMRC and backdate your claim by up to four tax years, potentially receiving a lump sum of over £1,000 in backdated savings. The claim continues automatically each year until you cancel it or circumstances change (e.g. divorce, death, or a change in income).
Try the calculator: Use our free calculator to see how marriage allowance affects your finances.
Marriage Allowance Calculator →Other Glossary Terms
The system HMRC uses to collect income tax and National Insurance directly from employees' wages.
National InsuranceA UK tax on earnings and self-employed profits that funds the state pension, NHS, and benefits.
Personal AllowanceThe amount of income you can earn each year before paying income tax — currently £12,570.
Basic Rate (20%)The 20% income tax rate applied to taxable income between £12,571 and £50,270.
Higher Rate (40%)The 40% income tax rate applied to taxable income between £50,271 and £125,140.
Additional Rate (45%)The 45% income tax rate applied to taxable income above £125,140.