UK side-hustle tax-free allowance to rise to £3,000 from April 2027

From 6 April 2027, the amount people in the UK can earn from a side hustle tax-free will rise from £1,000 to £3,000 a year. The chancellor announced the change in the budget; it will be set out in the Finance Bill 2026-27. About 100,000 people will no longer need to report trading income to HMRC, the tax authority.