Potential National Insurance Rise for Employers Under Consideration
In a recent statement, UK Prime Minister Keir Starmer didn't rule out an increase in National Insurance for employers, despite Labour's manifesto against raising taxes for working people. This potential change comes as the government seeks to address a significant budget gap and improve economic conditions. The proposal has sparked discussions on its impact on both the economy and trust in government promises.
Sir Keir Starmer, UK Prime Minister, has not dismissed the possibility of raising National Insurance (NI) for employers, despite Labour's manifesto pledge against tax increases for 'working people'.
Speaking at Downing Street, Starmer mentioned the impending budget would focus on 'rebuilding our country' amidst financial strain.
Employers currently pay NI at 13.8% on employee earnings above £175 per week, while employees pay starting at age 16 on earnings over £242 weekly.
Speculated changes aim to address a £22 billion fiscal gap.
Additionally, Labour clarified that its tax pledge not to increase NI pertains to employee contributions, with potential hikes in employer NI to be decided.
The budget considerations come as the government aims to promote business investments, housing, and economic recovery, having already allocated funds for new housing projects.
Speaking at Downing Street, Starmer mentioned the impending budget would focus on 'rebuilding our country' amidst financial strain.
Employers currently pay NI at 13.8% on employee earnings above £175 per week, while employees pay starting at age 16 on earnings over £242 weekly.
Speculated changes aim to address a £22 billion fiscal gap.
Additionally, Labour clarified that its tax pledge not to increase NI pertains to employee contributions, with potential hikes in employer NI to be decided.
The budget considerations come as the government aims to promote business investments, housing, and economic recovery, having already allocated funds for new housing projects.
