How much!

How much!

Fiscal drag and tax rate increases across the board have pushed up monthly ‘tax take’ to £74.9bn in October, up £5bn on the same month last year, with the total HMRC tax and national insurance contributions (NICs) receipts so far this tax year for April to October 2025 hitting £513.7bn, which is £37.8bn higher year on year.

The impact of fiscal drag also means thousands of taxpayers are being dragged into higher tax rates and paying significantly more tax with thresholds frozen until 2028.

Inheritance tax (IHT) continues to pull in an ever-growing monthly tax take, up to £5.2bn in the first seven months of the year, £200m more than last year. With the huge wealth transfer expected in the next decade and changes to IHT with the addition of pension pots, more farms and privately owned businesses brought under the umbrella, this will be a ‘cash cow’ for the government.