£3,130 Tax-Free Allowance: The new £3,130 Tax-Free Allowance announcement from HMRC is making headlines for all the right reasons. If you are part of a UK family with a visually impaired member, this could be the boost you have been waiting for. In a time when every pound matters, learning about what you can claim and how to get it is more important than ever. This tax relief is not just a small gesture; it can lead to real savings for families who qualify.

This article is your complete guide to understanding the £3,130 Tax-Free Allowance, who is eligible, and how you can claim it. We will break down the essentials in simple terms, so you can walk away knowing exactly what steps to take. Whether you are eligible yourself or know someone who might be, this is one update from HMRC you do not want to ignore.

£3,130 Tax-Free Allowance: Why This Update Matters Right Now

The £3,130 Tax-Free Allowance is not just another line in your tax code. It is part of a bigger push by the UK government to support families who face extra challenges. If someone in your household is certified as severely sight-impaired or blind, this new allowance means more of your income stays in your pocket. That can be a huge deal, especially with the cost of living still putting pressure on everyday finances.

What makes this allowance even more helpful is how flexible it is. If the person who qualifies cannot use all of it because they do not earn enough, they can pass the remaining amount to their spouse or civil partner. That is real teamwork for families. And when you add in the possibility of claiming it for past years, it is clear that this is more than just a small tax break. It is meaningful support.

Overview Table: Key Details of the £3,130 Tax-Free Allowance

Feature	Details
Allowance Type	Blind Person’s Allowance
Total Value	£3,130 for the 2025/26 tax year
Eligibility	Must be registered as severely sight-impaired or blind
Registration Proof	Certification from a qualified ophthalmologist
Where to Register	Local authority or council records
Tax Benefit	Reduces taxable income amount
Transfer Option	Can transfer to a spouse or civil partner
Claim Method	Contact HMRC directly by phone or post
Backdate Option	Up to four years of backdated claims allowed
Potential Annual Savings	£626 (basic-rate) or £1,252 (higher-rate)

Who Qualifies for the Boost?

The £3,130 Tax-Free Allowance is not open to everyone. It is specifically aimed at people who are officially registered as severely sight-impaired or blind. That means you need to have a medical certificate confirming your visual condition and be listed with your local authority. This is the first and most important step to access this tax relief.

Once that part is taken care of, claiming the allowance is possible even if you are not earning enough to pay tax. Why? Because you can transfer the unused portion to your spouse or civil partner, as long as they are paying tax. That is where this allowance becomes powerful. It does not just support individuals but entire households.

The Blind Person’s Allowance

The Blind Person’s Allowance is not new, but the recent increase to £3,130 makes it more valuable than ever. It is designed to lower the amount of income that can be taxed for people with certified visual impairment. If you are eligible, this is added on top of your standard Personal Allowance, which already covers a portion of your income from tax.

Unlike other benefits, this allowance is not tied to how much you earn or your total household income. It only depends on your registration status. This is important because it means even those on lower incomes can still receive support through this tax relief, or pass it to their partner who pays tax. It is a straightforward way for the government to ease financial stress.

Transferring the Allowance

If the person who qualifies for the £3,130 Tax-Free Allowance does not earn enough to use it, they can pass it to their legally married spouse or civil partner. This transfer makes sure that the value of the allowance is not lost. In fact, it helps more families see a noticeable reduction in their tax bill.

Here is how it works. The partner receiving the transferred allowance must be paying Income Tax, either at the basic, higher, or additional rate. The transfer is not available for unmarried couples or those not in a legal civil partnership. Once HMRC approves the transfer, the receiving partner’s tax code is updated and the savings apply.

Claiming Your £3,130

Getting your hands on this allowance is not automatic. You will need to get in touch with HMRC either by phone or post. Make sure you have the right documents showing that you or your partner are officially registered as severely sight-impaired.

When the claim is processed, HMRC will update your tax code, and you will start to benefit from the increased allowance. If you are transferring the allowance, the tax code of your spouse or partner will also be updated to reflect the change. This ensures you get the full benefit from the current and future tax years.

Backdating the Claim

If you or your partner have been eligible for the Blind Person’s Allowance in the past but never claimed it, there is good news. HMRC allows you to backdate your claim for up to four tax years. That could add up to a serious tax refund.

To backdate a claim, you will need proof of when you first became eligible. Once HMRC reviews and approves the documents, you could receive a lump-sum refund. For some families, this could mean thousands of pounds back in their account. It is a step that many overlook but one that is well worth taking.

Impact on Family Finances

With the current rate of £3,130, the tax savings add up quickly. If your partner is a basic-rate taxpayer, the saving is £626 per year. If they are on the higher-rate tax band, the saving goes up to £1,252 annually. When you add the option of four years of backdated claims, you could be looking at a total benefit of over £5,000.

This money can help cover daily expenses, specialist equipment, or other support services related to visual impairment. More importantly, it offers breathing room for families already facing additional challenges. That is why understanding and claiming the £3,130 Tax-Free Allowance matters so much.

Other Tax Allowances

The Blind Person’s Allowance is not the only relief available. Here are a few others that can benefit your family:

• Marriage Allowance lets a lower earner transfer part of their Personal Allowance to their spouse.
• Tax-Free Childcare helps working parents save on childcare costs.
• Child Benefit supports families with children, although it is limited based on income levels.

These allowances can stack up to make a real difference. It is always worth reviewing your full financial picture and checking what you might qualify for.

FAQs