PAYE (Pay As You Earn): change to personal allowance

The Chancellor has announced an increase in the personal allowance of £600 and an adjustment to the higher rate threshold (the total of the personal allowance and basic rate limit).

You do not need to make any adjustments to your code numbers at the moment and you should continue to use the allowances and guidance published in May 2008. The emergency code for employees joining you without a code number remains 543L.

We will be issuing details in the next few weeks of how and when this change should be made and what it will mean for your payroll.