By Mel Hackney

The Autumn statement has been announced and perhaps the most surprising part for many was the fall in Employee National Insurance. It was anticipated that this would fall, but it has been cut more than some predicted; by 2% (from 12% to 10%).

This will be implemented from 1 January 2024 rather than from the beginning of next tax year.

This means that for employed higher rate taxpayers, National insurance contributions (NIC) will fall by approximately £750 per annum. Perhaps good news for some but combined with no change in Income Tax despite high inflation, the impact of this could feel quite small.

For those self-employed, a fall in rate also albeit smaller (from 9% to 8%), and no further class 2 NIC.

If you would like to discuss any of the tax impacts of the Autumn statement, or anything else, please just get in touch.