Marriage Allowance lets you transfer £1,257 of your Personal Allowance to your spouse or civil partner — saving them up to £251 per year in income tax. It is free to apply for and one of the most commonly missed tax reliefs in the UK, with HMRC estimating that over 2 million eligible couples have not claimed. The application takes about 10 minutes online and, once set up, applies automatically every year until you cancel it.[1]
Who is eligible for Marriage Allowance?
You can claim Marriage Allowance if all of the following apply to your situation:
- You are married or in a civil partnership (cohabiting couples are not eligible, regardless of how long you have lived together).
- The lower-earning partner has income below the Personal Allowance (£12,579) — meaning they do not pay income tax. This includes people who are not working, earn under the threshold, or only have savings income covered by the Personal Savings Allowance.
- The higher-earning partner is a basic rate taxpayer (total income between £12,579 and £50,270). They must not pay Higher Rate or Additional Rate tax on any of their income.
If the higher earner pays 40% or 45% tax, Marriage Allowance does not apply — but they may benefit from other strategies like pension contributions to reduce their taxable income. In Scotland, the recipient must be a starter, basic, or intermediate rate taxpayer (not higher or top rate) to be eligible.
How much does Marriage Allowance actually save?
The lower earner transfers £1,257 of their Personal Allowance to the higher earner. Here is what this means in practice:
- The lower earner's Personal Allowance reduces from £12,579 to £11,322. Since they earn less than £12,579 anyway, this has no effect on their tax — they still pay £0.
- The higher earner's Personal Allowance increases from £12,579 to £13,836. They save tax on an extra £1,257 of income at 20% = £251 per year (approximately £21/month).
The saving is modest but completely free and ongoing. It requires no annual renewal — once set up, it applies automatically each tax year until you cancel it. Over a 10-year period, that is £2510 of tax saved for a one-time 10-minute application.
How do I apply for Marriage Allowance?
The lower-earning partner applies online through HMRC's Marriage Allowance service on GOV.UK. You will need both partners' National Insurance numbers and the lower earner's Government Gateway login (or they can create one during the application). The transfer is applied to the higher earner's tax code — you will see their code change from 1257L to 1383L. The transferor's code becomes 1132N.[1]
You can also backdate a claim for up to 4 previous tax years. If you have been eligible since 2022/23 and never claimed, you could receive a lump-sum refund of up to £1004 (4 years × £251). HMRC pays this directly to the higher earner, usually within 4–6 weeks of the application being processed.
The application can be done at any point during the tax year. If you apply mid-year, the benefit is applied to the full year (not pro-rated), so the higher earner will receive a larger tax reduction in subsequent months to account for the earlier months.
When should I cancel Marriage Allowance?
You should cancel Marriage Allowance if any of these situations apply:
- The lower earner starts earning above £12,579 — they will now owe tax on the £1,257 they have transferred away, which could cost them more than the higher earner saves.
- The higher earner moves into the Higher Rate band (income above £50,270) — they are no longer eligible to receive the transfer and HMRC will claw back any benefit received.
- You separate, divorce, or dissolve your civil partnership. Note that the allowance continues for the rest of the tax year of separation, but you should cancel before the next year starts.
Cancellation is done through the same HMRC online service. If you forget to cancel after separation, the allowance may continue to be applied incorrectly — check your tax code each year. HMRC does not automatically detect relationship changes.
What are the most common Marriage Allowance mistakes?
- Applying the wrong way round. The lower earner transfers TO the higher earner. If the higher earner accidentally applies as the transferor, HMRC will reduce their allowance instead of increasing it — costing you money rather than saving it.
- Not backdating. Many people only apply for the current year and miss out on up to £1004 from previous years. Always check the backdate option during the application process.
- Confusing it with Married Couple's Allowance. That is a different, older relief for couples where one partner was born before 6 April 1935. Most couples under 90 should claim Marriage Allowance instead. The two cannot be claimed simultaneously.
- Assuming cohabiting couples qualify. Marriage Allowance requires legal marriage or civil partnership. Simply living together, regardless of duration, does not qualify. A civil partnership can be formed for this purpose.
How does Marriage Allowance affect my take-home pay?
Use the income tax calculator to see how a higher Personal Allowance affects your monthly take-home. Enter the higher earner's salary and set a custom tax code of 1383L to see the Marriage Allowance effect in action. For a typical basic rate taxpayer earning £30,000, the monthly increase is approximately £21 — not life-changing but entirely free money.
For couples exploring other tax-saving options, see our guide to reducing your tax bill for strategies that work alongside Marriage Allowance.
Sources
- HMRC — Marriage Allowance. Official guidance on eligibility, how to apply, and the transfer amount of £1,257. Accessed July 2026.
- HMRC — Income Tax rates and Personal Allowances. Personal Allowance £12,579, basic rate 20%, basic rate limit £50,270. Accessed July 2026.