Mark Drakeford, Cabinet Secretary for Finance and Welsh Language set out the 2025-26 Welsh Budget on 10 December 2024.
Welsh Budget 2025-26: At a glance
- Wales, although part of the wider UK, is able to set its own Welsh Rates of Income Tax (WRIT), Landfill Disposals Tax (LDT) and Land Transaction Tax (LTT). These will contribute around £4bn to the Welsh Budget in 2025-26.
Welsh Rates of Income Tax (WRIT)
- No changes to Welsh Rates of Income Tax (WRIT) in 2025-26.
- Rates and allowances remain the same as those in England and Wales.
See Income tax rates and allowances
Land Transaction Tax (LTT)
- On 11 December 2024, the higher residential rates of Land Transaction Tax (LTT) increase by 1%.
- There are no changes to the other bands.
LTT: Higher residential tax rates
These were raised on 11 December 2024:
|
Band |
From 11/12/24 Rate |
From 22/12/2020 Rate |
|
£0- £180,000 |
5% |
4% |
|
£180,000- £250,000 |
8.5% |
7.5% |
|
£250,000- £400,000 |
10% |
9% |
|
£400,000- £750,000 |
12.5% |
11.5% |
|
£750,000- £1.5 million |
15% |
14% |
|
£1.5 million and over |
17% |
16% |
See Land Transaction Tax (LTT)
Landfill Disposals Tax (LDT)
- The lower rate of Landfill Disposals Tax LDT, will be increased to £6.30 from £3.30 per tonne.
- The standard rate increases to £126.15 from £103.70.
- The unauthorised rate is 150% of the standard rate, this increases to £189.25 from £155.55.
External links
Written Statement: Draft Budget 2025-26: Welsh Taxes
