Petition Raise the income tax personal allowance from £12,570 to £20,000

This would help with increasing rent, mortgages, Council tax, and Gas and Electric bills. Some families can’t afford to go back to work after children due to childcare costs wiping their whole income!

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We think that we are currently paying ridiculous amounts of tax, and that minimum wage isn't even enough to support an average family.
We believe that this would lead to a massive increase on people willing to look for work, instead of people not wanting to, due to it being too expensive to now live.

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Government responded

This response was given on 17 November 2025

The Government is committed to keeping taxes for working people as low as possible while ensuring fiscal responsibility, so we will not increase the Personal Allowance to £20,000.

The Government is committed to keeping taxes for working people as low as possible while investing in public services and not taking risks with the economy.

The Government currently has no plans to increase the Personal Allowance to £20,000. Increasing the Personal Allowance to £20,000 would come at a significant fiscal cost of more than £50 billion per annum. This would reduce tax receipts substantially, decreasing funds available for the UK’s hospitals, schools, and other essential public services that we all rely on. A £50 billion cut in public services is equivalent to slashing roughly a quarter of the NHS Budget, or around 80% of defence spending.

To support the lowest paid workers in our economy, the Government asked the Low Pay Commission to account for the cost of living when making their recommendations on the minimum wage rates to apply from April 2025, for the first time. The government is also supporting families through the universal offer of 15 hours of government-funded childcare for all parents of 3- and 4-year-olds and eligible working parents of children aged 9 months and above can access 30 hours a week in free childcare.

The Government keeps all taxes under review as part of the policy making process. The Chancellor will announce any changes to the tax system at the Budget on the 26th November in the usual way.

HM Treasury

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