UK tax codes · 2026/27 tax year

C1257L tax code: Welsh rates explained

C1257L is the standard tax code for Welsh taxpayers in 2026/27. The C means your tax is worked out at the Welsh rates set by the Welsh Government, 1257 means £12,570 of tax-free pay, and L means the standard Personal Allowance. For 2026/27 the Welsh rates are 20%, 40% and 45%, the same as England and Northern Ireland, so you pay the same tax as on 1257L: £2,486 on £25,000 and £5,486 on £40,000.

Tax code rules checked against GOV.UK and HMRC's PAYE Manual on 25 September 2026.

Tax-free pay

£12,570

a year

Tax on £25,000

£2,486

same as 1257L

Tax on £60,000

£11,432

same as 1257L

Welsh rates

20/40/45%

match England for 2026/27

C1257L, 1257L and S1257L compared

Income Tax a year for 2026/27 on the same salary in Wales, England or Northern Ireland, and Scotland.

Salary	C1257L (Wales)	1257L (England, NI)	S1257L (Scotland)
£25,000	£2,486	£2,486	£2,446.33
£40,000	£5,486	£5,486	£5,551.07
£60,000	£11,432	£11,432	£13,182.05

Welsh Income Tax bands 2026/27

For someone with the standard £12,570 allowance, from GOV.UK.

Band	Taxable income	Rate
Personal Allowance	Up to £12,570	0%
Basic rate	£12,571 to £50,270	20%
Higher rate	£50,271 to £125,140	40%
Additional rate	Over £125,140	45%

Why the C matters if the tax is the same

GOV.UK says the Welsh rates are set by the Welsh Government. The C tells your employer and HMRC to use them, so if Welsh rates ever move away from England's, the right ones are applied to your pay without a new kind of code.

Who gets a C code

You pay Welsh rates if you live in Wales. If you move in or out, you pay them only if you lived in Wales longer than anywhere else in the UK in that tax year, and HMRC backdates the change to 6 April. With homes in Wales and elsewhere, your main home decides.

Other Welsh codes

GOV.UK lists C0T (no tax-free pay, Welsh rates), CBR (all pay at the Welsh basic rate), CD0 (Welsh higher rate) and CD1 (Welsh additional rate). They work like 0T, BR, D0 and D1 and are mostly used for second jobs or pensions.

Savings and dividends

Welsh rates only apply to earnings, pensions and similar income. You pay the same tax as the rest of the UK on dividends and savings interest.

If you think this code is wrong

If you live in Wales and your code has no C, or you have moved away and it still has one, update your address with HMRC. Sign in to HMRC's Check your Income Tax service (gov.uk/check-income-tax-current-year) and check your jobs, pensions, benefits and expenses. HMRC then tells you and your employer any new code within 15 working days; it should show on your next or following payslip if you are paid monthly, or your third if weekly. If you cannot go online, call the Income Tax helpline on 0300 200 3300 (Monday to Friday, 8am to 6pm). After starting a new job, wait 35 days before calling.

Guides and definitions

High Income Child Benefit Charge: how it is worked out and cut (Guide)
How to read your payslip: every line explained, with an example (Guide)
Emergency tax: how it works and how to get your money back (Guide)
Emergency tax code (An emergency tax code, marked W1, M1 or X, taxes each payday on its own, as if you were paid that amount every period of the year.)
P11D (A P11D is the form UK employers send HMRC by 6 July to report each employee's taxable benefits and expenses that were not taxed through payroll.)
P60 (A P60 is the yearly summary of your pay and tax from one employer, due by 31 May if you work there on 5 April.)
Personal Allowance (The Personal Allowance is the income you can earn each UK tax year before Income Tax starts: £12,570 for 2026/27.)
Tax code (A UK tax code tells your employer or pension provider how much tax-free pay to give you; 1257L, meaning £12,570, is the most common.)

Check your own tax code and pay

Other tax codes explained

1257L tax code (Standard tax-free allowance of £12,570 on one job or pension)
Emergency codes (W1, M1, X) tax code (Emergency basis: each payment taxed on its own)
S1257L tax code (Standard allowance, taxed at Scottish rates)
1257M / 1383M tax code (You receive £1,260 of Marriage Allowance from your partner)
1257N / 1131N tax code (You transfer £1,260 of Marriage Allowance to your partner)
BR tax code (All pay taxed at the 20% basic rate, no allowance)
0T tax code (No tax-free pay; all pay taxed through the bands)
D0 tax code (All pay taxed at the 40% higher rate)
D1 tax code (All pay taxed at the 45% additional rate)
SD0, SD1, SD2, SD3 tax code (Scottish flat-rate codes at 21%, 42%, 45% or 48%)
K codes tax code (Untaxed income or deductions bigger than your allowance)
NT tax code (No tax taken from this job or pension)

Every UK tax code in one table · Salary after tax calculator · Check your own tax code and pay

Common questions

What does C mean in a tax code?

C means your income is taxed using the rates in Wales. HMRC adds a C to the start of your code if your main home is in Wales, for example C1257L.

Do you pay more tax in Wales?

Not in 2026/27. GOV.UK's Welsh table shows 20% from £12,571, 40% from £50,271 and 45% over £125,140, the same as England and Northern Ireland. On £60,000 you pay £11,432 on C1257L or 1257L.

Is C1257L an emergency tax code?

No. It is the standard Welsh code. It is only an emergency code if W1, M1 or X follows it, such as C1257L M1, or your payslip shows NONCUM.

I live in Wales but my code is 1257L. Is that wrong?

Your tax is the same this year either way, but HMRC should have a C on your code if your main home is in Wales. Update your address in your personal tax account so the right rates apply if they change.

What is the difference between C1257L and S1257L?

C is Wales and S is Scotland. Scotland has six bands from 19% to 48%, so on £60,000 a Scottish taxpayer pays £13,182.05, against £11,432 on C1257L.

Sources and assumptions

Income Tax for the 2026/27 tax year (6 April 2026 to 5 April 2027), with the same pay every payday for the whole year.
The code number is read as GOV.UK describes it: the tax-free amount with the last digit dropped (1257 = £12,570). Payroll tables can differ by a few pounds.
National Insurance, pension contributions and student loans are not included unless a table says so.

These are estimates to help you read your tax code, not tax advice. HMRC and your employer's payroll decide the tax you actually pay.