| By Chandraketu Tripathi | Updated April 2026 | ||||||||||||||||||||||||
| The UK financial year — more accurately called the tax year or fiscal year — starts on 6 April each year and ends on 5 April the following year. This means the 2026-27 tax year runs from 6 April 2026 to 5 April 2027. The date seems odd, but it has a very specific historical origin rooted in calendar reform over 270 years ago. | ||||||||||||||||||||||||
Key Facts 2026-27 tax year: 6 April 2026 – 5 April 2027 | Company financial year: 1 April – 31 March | ISA allowance resets: 6 April | Self-assessment deadline: 31 January 2027 | ||||||||||||||||||||||||
Key UK Tax Year Dates 2026-27 | ||||||||||||||||||||||||
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What Resets on 6 April 2026 (Start of 2026-27) | ||||||||||||||||||||||||
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Why Does the UK Tax Year Start on 6 April? The History | ||||||||||||||||||||||||
| The answer goes back to 1752, when Britain adopted the Gregorian calendar and 'lost' 11 days (3–13 September 1752 simply didn't exist). Before this, the British tax and legal year started on Lady Day — 25 March, the Feast of the Annunciation. To avoid the Treasury losing revenue for those 11 days, the tax year-end was moved forward by 11 days from 25 March to 5 April. Then in 1800, when the Gregorian calendar required another leap year adjustment, the Treasury moved the year-end one more day to 6 April, where it has remained for over 200 years. | ||||||||||||||||||||||||
Company Financial Year vs Personal Tax Year | ||||||||||||||||||||||||
| It is important to distinguish between the personal tax year (6 April to 5 April) and the company financial year (1 April to 31 March). Corporation tax rates, R&D credits, and capital allowances change on 1 April. When company accounts refer to a 'financial year,' they mean the 1 April–31 March period. For your personal taxes, it's always 6 April–5 April. | ||||||||||||||||||||||||
Frequently Asked QuestionsWhen does the financial year start in the UK? The UK tax year (also called the financial year or fiscal year) starts on 6 April and ends on 5 April the following year. So the 2026-27 tax year runs from 6 April 2026 to 5 April 2027. This unusual date originates from the switch from the Julian to Gregorian calendar in 1752 — the 11-day adjustment shifted what was originally New Year (25 March, Lady Day) to 5 April, and then to 6 April to avoid losing a tax year. When does the UK financial year end? The UK tax year ends on 5 April each year. So the 2025-26 tax year ended on 5 April 2026, and the 2026-27 tax year will end on 5 April 2027. This is the deadline for using annual tax allowances — ISA contributions, pension annual allowance, capital gains tax annual exempt amount, and the inheritance tax annual exemption all reset on 6 April. What is the difference between the tax year and the financial year in the UK? In the UK, 'tax year' and 'financial year' are often used interchangeably for personal tax purposes — both referring to the 6 April to 5 April period. However, the 'financial year' for companies runs from 1 April to 31 March (not 6 April to 5 April). Corporation tax rates and thresholds change on 1 April, while income tax rates change on 6 April. What changes at the start of the new tax year in the UK? From 6 April each year: new ISA allowances start (£20,000 for 2026-27), income tax thresholds apply, National Insurance rates reset, new pension annual allowance applies (£60,000 for 2026-27), new capital gains tax exempt amount (£3,000 for 2026-27), new inheritance tax annual exemption (£3,000), and new dividend allowance (£500 for 2026-27). Why does the UK tax year start on 6 April? The UK tax year starts on 6 April due to a quirk of calendar reform. Before 1752, the British legal new year started on 25 March (Lady Day). When Britain adopted the Gregorian calendar in 1752, 11 days were lost. To avoid losing tax revenue for a full year, the Treasury moved the year-end from 25 March to 5 April (11 days later). In 1800, a further calendar correction moved it to 6 April, where it has remained ever since. | ||||||||||||||||||||||||
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| Disclaimer: Tax rates and allowances change annually. Always verify with HMRC or a qualified accountant. Sources: GOV.UK, HMRC, House of Commons Library, DS Burge & Co, Rest Less, Phinch.co.uk, Morningstar UK. April 2026. |
When Does the UK Financial Year Start? (And Why It's April 6)
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