In 2024/25 the value of tax receipts for the United Kingdom amounted to approximately 840 billion British pounds. Tax receipts form the bulk of UK government income, based on various direct and indirect taxes. Although tax income has gradually increased throughout most of this period, there is a noticeable dip in 2020 due to the COVID-19 pandemic. Tax revenue sources Of the revenue generated by taxation in 2024/25, over 301 billion of this came from Income Tax receipts, which was the main source of direct tax income for the government. After income tax, the next most substantial direct tax were contributions from National Insurance, which amounted to just over 172.5 billion pounds of tax revenue. The UK's main goods and services tax; Value-added Tax (VAT) amounted to 170.6 billion pounds, while Corporation Tax receipts raised 91.6 billion pounds. Although other smaller direct and indirect taxes produce notable income, these four sources were by far the main sources of income in the previous financial year. UK government finances While taxes and other sources of income raised more than 1.13 trillion pounds in 2024/25, the UK government expenditure was around 1.28 trillion pounds. This gap between revenue and expenditure was financed via government borrowing, which amounted to almost 152 billion pounds. As the UK government has been spending more than it earns for several years, this has resulted in a significant government debt of 2.8 trillion pounds building up, the equivalent of just under 96 percent of GDP in 2024/25.

Key information about UK Tax revenue: % of GDP

• United Kingdom Tax revenue: % of GDP was reported at 27.3 % in Dec 2024.
• This records a decrease from the previous number of 28.4 % for Sep 2024.
• UK Tax revenue: % of GDP data is updated quarterly, averaging 25.7 % from Mar 1955 to Dec 2024, with 280 observations.
• The data reached an all-time high of 44.2 % in Mar 1955 and a record low of 19.9 % in Jun 1960.
• UK Tax revenue: % of GDP data remains active status in CEIC and is reported by CEIC Data.
• The data is categorized under World Trend Plus’s Global Economic Monitor – Table: Tax Revenue: % of Nominal GDP: Quarterly.

CEIC calculates quarterly Tax Revenue as % of Nominal GDP from quarterly Tax Revenue and quarterly Nominal GDP. Tax Revenue is calculated as the sum of Taxes on Income and Wealth, Taxes on Production, Other Current Taxes and Taxes on Capital. Office for National Statistics provides Tax Revenue in local currency and Nominal GDP in local currency.

Key information about United Kingdom Tax Revenue

• UK Tax Revenue was reported at 256.268 USD bn in Dec 2024.
• This is a decrease from the previous figure of 266.877 USD bn for Sep 2024.
• UK Tax Revenue data is updated quarterly, averaging 68.866 USD bn from Mar 1957 to Dec 2024, with 272 observations.
• The data reached an all-time high of 293.309 USD bn in Mar 2024 and a record low of 3.111 USD bn in Jun 1957.
• UK Tax Revenue data remains active status in CEIC and is reported by CEIC Data.
• The data is categorized under World Trend Plus’s Global Economic Monitor – Table: Tax Revenue: USD: Quarterly.

CEIC calculates quarterly Tax Revenue as the sum of Taxes on Income and Wealth, Taxes on Production, Other Current Taxes and Taxes on Capital and converts it into USD. Office for National Statistics provides Tax Revenue in local currency. Federal Reserve Board average market exchange rate is used for currency conversions.

In 2024/25 receipts from capital gains tax in the United Kingdom amounted to just over ***billion British pounds, compared with *****billion pounds in the previous year the previous year.

In 2023/24, households in the top decile in the United Kingdom paid, on average, 48,189 British pounds in income tax, compared with the lowest income decile which paid around 1,783 pounds per year.

Data on the effects of taxes and benefits on household income publication from 2001, including average incomes, taxes and benefits and household characteristics of all, retired and non-retired individuals and households in the UK by quintile and decile groups.

The United Kingdom recorded a Government Debt to GDP of 95.90 percent of the country's Gross Domestic Product in 2024. This dataset provides - United Kingdom Government Debt To GDP - actual values, historical data, forecast, chart, statistics, economic calendar and news.

In 2022/23, the UK government spent approximately 10.2 percent of GDP on social security, compared with 8.4 percent for health, and 4.2 percent for education. These three spending areas have accounted for the highest share of government spending since the late 1980s. Defence spending as a share of GDP has, by contrast, fallen throughout this period, from a high of 4.6 percent in 1984/85, to just 1.8 percent in the mid-2010s. Main sources of revenue During this same time period, income tax has been the most important source of revenue for the government, accounting for almost ten percent of GDP in the 2022/23 financial year. The UK's main tax levied on sales, Value Added Tax (VAT), was equivalent to 7.4 percent of GDP that year, with National Insurance Contributions at around seven percent of GDP. Taxes raised from businesses via Corporation Tax were the fourth-major source of tax revenue that year, at approximately 3.1 percent of GDP. Debt and borrowing Due to several years of the government spending more than it earns, the government has had to borrow large amounts to finance its commitments. This was especially the case at the height of the COVID-19 pandemic when, due to depressed revenues and increased expenditure, the government borrowed more than 314 billion pounds. This increased the national debt from 1.8 trillion pounds, to around 2.15 trillion pounds, or almost 97 percent of GDP.

U.K. GDP for 2023 was 3.381 trillion US dollars, a 8.57% increase from 2022.

<ul style='margin-top:20px;'>

<li>U.K. GDP for 2022 was <strong>3.114 trillion US dollars</strong>, a <strong>0.93% decline</strong> from 2021.</li>
<li>U.K. GDP for 2021 was <strong>3.143 trillion US dollars</strong>, a <strong>16.56% increase</strong> from 2020.</li>
<li>U.K. GDP for 2020 was <strong>2.697 trillion US dollars</strong>, a <strong>5.42% decline</strong> from 2019.</li>
</ul>GDP at purchaser's prices is the sum of gross value added by all resident producers in the economy plus any product taxes and minus any subsidies not included in the value of the products. It is calculated without making deductions for depreciation of fabricated assets or for depletion and degradation of natural resources. Data are in current U.S. dollars. Dollar figures for GDP are converted from domestic currencies using single year official exchange rates. For a few countries where the official exchange rate does not reflect the rate effectively applied to actual foreign exchange transactions, an alternative conversion factor is used.

Public sector net debt amounted to 95.8 percent of gross domestic product in the United Kingdom during the 2024/25 financial year, or 90 percent when the Bank of England is excluded. UK government debt is at its highest levels since the early 1960s, due to a significant increase in borrowing during the COVID-19 pandemic. After peaking at 251.7 percent shortly after the end of the Second World War, government debt in the UK gradually fell, before a sharp increase in the late 2000s at the time of the global financial crisis. Debt not expected to start falling until 2029/30 In 2024/25, the UK's government expenditure was approximately 1.28 trillion pounds, around 44.7 percent of GDP. This spending was financed by 1.13 trillion pounds of revenue raised, and 151 billion pounds of borrowing. Although the UK government can still borrow money in the future to finance its spending, the amount spent on debt interest has increased significantly recently. Recent forecasts suggest that while the debt is eventually expected to start declining, this is based on falling government deficits in the next five years. Government facing hard choices Hitting fiscal targets, such as reducing the national debt, will require a careful balancing of the books from the current government, and the possibility for either spending cuts or tax rises. Although Labour ruled out raising the main government tax sources, Income Tax, National Insurance, and VAT, at the 2024 election, they did raise National Insurance for employers (rather than employees) and also cut Winter Fuel allowances for large numbers of pensioners. Less than a year after implementing cuts to Winter Fuel, the government performed a U-Turn on the issue, and will make it widely available by the winter of 2025.

An average of 79% of Bangladeshi households were in the 2 lowest income quintiles (after housing costs were deducted) between April 2019 and March 2022

Expenditure per head on the Fire and Rescue Service

How the figure is calculated:

England total net current expenditure on the Fire and Rescue Service, divided by the mid-year population estimate for England.

Why is this indicator in the business plan?

This demonstrates the cost per head of providing the Fire and Rescue Service and will indicate over time whether the cost is going up or down. This indicator is of total revenue expenditure because the funding from the Department cannot be disaggregated from the total Fire and Rescue funding, which also includes locally raised funds, such as council tax.

How often is it updated?

Annually. A provisional figure will initially be released followed by a revised final outturn figure approximately three months later.

Where does the data come from?

The indicator is derived from two sources:

The total expenditure figure is sourced from revenue summary returns to DCLG. Published figures are at https://www.gov.uk/government/organisations/department-for-communities-and-local-government/series/local-authority-revenue-expenditure-and-financing.

The ONS population estimates that are used to derive a per head estimate are available at http://www.ons.gov.uk/ons/taxonomy/index.html?nscl=Population.

What area does the headline figure cover?

England.

Are further breakdowns of the data available?

Yes, can be split by Fire and Rescue Authority.

What does a change in this indicator show?

A decreasing figure will indicate that expenditure on the Fire and Rescue Service is falling, per head of population. For 2011-12, total expenditure also fell, while the population of England rose.

Time Lag

Provisional figures published within five months of end of the reporting period, with final figures being published within eight months of end of the reporting period.

Next available update

August 2014 - Provisional figure for 2013-14

Type of Data

National Statistics.

Robustness and data limitations

The expenditure figures are subjected to rigorous pre-defined validation tests both within the relevant form itself, while the form is being completed by the authority, and also as the data are received and stored. Population figures are the definitive mid-year estimates published by ONS.

Links to Further Information

https://www.gov.uk/government/organisations/department-for-communities-and-local-government/series/local-authority-revenue-expenditure-and-financing

Contact Details

CorporatePerformance@communities.gsi.gov.uk

Complete set of taxes and social contributions for general government and its sub-sectors, by ESA transaction area.

This dataset provides values for GOVERNMENT DEBT TO GDP reported in several countries. The data includes current values, previous releases, historical highs and record lows, release frequency, reported unit and currency.