INCOME TAX · 2026/27

The £1,008 Claim That Takes Ten Minutes

Marriage Allowance is one of the most underclaimed tax reliefs in the UK. The barrier to claiming it is almost entirely ignorance.

8 min read · Updated June 2026

There is a tax relief that takes ten minutes to claim, is worth £252 per year, can be backdated four years, and is being missed by over a million eligible couples in the UK.

It is called the Marriage Allowance. And the reason so many people are not claiming it is not because they have considered it and decided against it. It is because they have never heard of it.

HMRC does not write to tell you that you are eligible. The money does not arrive automatically. You have to know to look for it, know how to claim it, and then spend ten minutes on the government’s website. The entire barrier to £1,008 in backdated tax relief is a ten-minute application that most eligible couples have never made.

A ten-minute claim. Up to £1,008 in backdated relief. Ongoing saving of £252 per year. No downside for those who qualify.

What It Is

The Marriage Allowance allows the lower-earning partner in a marriage or civil partnership to transfer £1,260 of their unused Personal Allowance to the higher earner. The higher earner receives a tax credit of £252 (£1,260 at 20%) against their Income Tax bill.

It is not a deduction. It is a credit, applied directly against the tax bill, which means it reduces the amount owed pound for pound regardless of which tax band the higher earner is in.

Who Qualifies

The conditions are specific and all must be met:

You must be married or in a civil partnership. Cohabiting couples do not qualify, regardless of how long they have lived together or whether they have children.

The lower earner must have income below £12,570. They are not using their full Personal Allowance. The transfer only makes sense if that allowance would otherwise go to waste.

The higher earner must be a basic rate taxpayer. Their income must be above the Personal Allowance (£12,570) but below the higher rate threshold (£50,270). The allowance transfer is a basic rate benefit — it is specifically not available to higher or additional rate taxpayers.

Neither partner can be a Scottish taxpayer paying the intermediate rate or above. Scottish Income Tax rates interact differently with the transfer.

Common situations where this applies: one partner works part-time and earns under £12,570; one partner is not working while caring for children; one partner has retired early; one partner is a student. These are not unusual circumstances.

Who cannot claim:

The Marriage Allowance is not available to couples where the higher earner pays 40% or 45% tax. There is a separate input in the WageLab calculator for Marriage Allowance — both giving and receiving — which shows the effect on the higher earner’s net pay.

It is also not the same as the old Married Couple’s Allowance, which applied before 2000 and was age-related. These are different reliefs with different rules.

How to Claim

The lower-earning partner applies at gov.uk/apply-marriage-allowance. The process takes around ten minutes and requires both partners’ National Insurance numbers. Once processed, HMRC updates the higher earner’s tax code to reflect the £252 credit — it typically appears as an M suffix on the code.

Backdating: you can claim for up to four previous tax years. For eligible couples who have never claimed, the lump sum rebate is up to £1,008, paid directly into the bank account of the partner who applies.

The claim remains in place automatically once made. You do not need to renew it every year. HMRC will continue applying it until circumstances change or you cancel it.

After Bereavement

The Marriage Allowance can continue in the tax year a spouse or civil partner dies. The surviving partner can still receive the credit in the year of death, and it can be applied to the deceased partner’s final tax return. The rules around bereavement and tax are worth checking through HMRC’s bereavement guidance, which is more comprehensive than most people realise.

The Bottom Line

If one partner earns less than £12,570 and the other is a basic rate taxpayer, the question is not whether to claim. It is why you have not claimed yet.

Important: This article is for informational purposes only and does not constitute financial or tax advice. Based on 2026/27 HMRC rates which are subject to change. Individual circumstances vary. Seek independent advice from a qualified financial adviser before making any financial decisions. When you invest, your capital is at risk. WageLab is not FCA regulated.

Use the WageLab calculator to see how these tax rules apply to your specific circumstances.

WageLab is not FCA regulated and does not provide financial advice. This article is for informational purposes only. Full article content coming soon.