We’ve heard a lot about paying taxes recently, but what do we get for it?
1. Health Services 🏥
About 40% of your taxes fund the NHS – covering hospitals, GP services, mental health care, medications, and more.
2. Education 🎓
Approximately 10-15% goes toward schools, colleges, universities, and funding for student loans. • This also includes early childhood education and programs to support teachers.
3. Social Welfare • Around 20-25% is allocated to pensions, unemployment benefits, housing benefits, and disability allowances. • This helps support individuals and families in need.
4. Public Infrastructure 🚆
This includes transportation networks like roads, railways, and public transport. • Usually around 5-10% of total tax spending.
5. Defence and Security
About 5-10% goes toward maintaining the armed forces, police, and emergency services. This ensures national security and public safety.
6. Local Government Services A portion of your taxes funds waste collection, social housing, local libraries, and other community services. • This varies by region but is usually 2-5%.
7. Debt Interest
Typically 5-7% is spent on servicing the national debt—that means paying interest on loans the government has taken out. • The 2023/24 figure is actually a little higher than average at 10.2% – reflecting higher worldwide interest rates in recent years.
8. International Aid 🌍
Generally around 1-2% supports overseas development and humanitarian aid projects. This was only 0.7% in 2023/24.
9. Environment
About 1-2% goes towards environmental protection.
10. Culture 🎭
Another small slice – about 1% goes towards things such as sports, libraries, and museums.
The percentages vary depending on yearly budgets, economic conditions, and government priorities – e. g. the announcement in the Spring Statement yesterday of an increase in defence spending.
You can access the latest annual summary of how your taxes are spent online through your personal tax account.
For more information, see the government website:
https://www.gov.uk/government/publications/how-public-spending-was-calculated-in-your-tax-summary/how-public-spending-was-calculated-in-your-tax-summary