Are You in the Top 10%? What Your Salary Really Means in Britain

We analysed HMRC data to show exactly where your income ranks in the UK. Most Brits have no idea how they compare—the numbers are eye-opening.

LifeByNumbersPublished on January 3, 20264 min min read

Think you know where your salary ranks in Britain? Most people are completely wrong. We analysed the latest HMRC data to show you exactly where you stand—and the results might surprise you.

The UK Income Percentile Breakdown

Here's the truth about British incomes in 2025/26:

PercentileAnnual SalaryWhat This Means
Top 1%£180,000+You're earning more than 99 in 100 Brits
Top 5%£100,000+Hello, 60% tax trap zone
Top 10%£65,000+You're doing very well
Top 25%£45,000+Solidly above average
Top 50%£35,000+You earn more than half the UK
Median£31,000The true middle

Reality check: If you earn £65,000, you're in the top 10% of UK earners. Yet most people at this level don't feel "rich" at all.

The British Class Delusion

Here's where it gets interesting:

  • 60% of Brits identify as "middle class"
  • People earning £80,000+ often say they're "comfortable but not wealthy"
  • Even those on £150,000 rarely call themselves "rich"

The London Effect: A £70,000 salary in London feels very different to £70,000 in Leeds. But nationally, you're still top 10%.

What Does Each Income Level Actually Buy?

£35,000/year (Top 50%)

  • Mortgage possible outside London
  • Modest car, careful budgeting
  • Limited savings capacity
  • Package holidays

£50,000/year (Top 25%)

  • Home ownership in most areas
  • Comfortable lifestyle
  • ISA and pension contributions
  • Annual European holiday

£65,000/year (Top 10%)

  • Property in commuter belt
  • New car
  • Private health insurance
  • Multiple holidays per year

£100,000/year (Top 5%)

  • Zone 2-3 London property
  • Private school deposits
  • Significant investments
  • Long-haul holidays

£180,000+/year (Top 1%)

  • Central London property
  • Generational wealth building
  • Multiple properties possible
  • Complete financial freedom

The Regional Reality

Your income percentile varies dramatically by region:

RegionTop 10% ThresholdMedian
London£85,000£44,000
South East£70,000£36,000
Scotland£58,000£31,000
North West£55,000£30,000
Wales£52,000£28,000
North East£50,000£27,000

Translation: £65,000 makes you top 10% nationally, but barely top 20% in London.

The Tax Cliff Edge

Here's the kicker—earning more doesn't always mean keeping more:

SalaryTake-HomeEffective Tax Rate
£50,000£39,52021%
£60,000£44,97425%
£100,000£67,37433%
£125,000£78,89337%

The £100K Trap: Between £100,000-£125,140, you lose your personal allowance at a rate of £1 for every £2 earned. Effective marginal rate: 62%.

Learn more about the 60% tax trap →

Age and Income

Your income percentile also depends on your career stage:

AgeTop 10% ThresholdMedian
22-29£40,000£25,000
30-39£58,000£32,000
40-49£70,000£35,000
50-59£68,000£33,000

Peak years: Most Brits hit peak earnings in their late 40s. If you're 28 on £45,000, you're ahead of most future top 10% earners at your age.

The Global Perspective

If you earn £35,000, you're:

  • Top 50% in Britain
  • Top 5% in Europe
  • Top 1% globally

That's not to say you can't aspire to more. But perspective helps.

Calculate Your Actual Take-Home

Your gross salary is one thing. What lands in your bank account is another—especially with the UK's complex tax system.

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So Where Do You Actually Rank?

After seeing the numbers, ask yourself:

  • Are you where you expected to be?
  • What would it take to move up one bracket?
  • Is the extra tax worth the lifestyle upgrade?

The answers are personal. But at least now you have the facts.

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